After a rough year for Samsung and its exploding smartphones, the South Korean technology giant is doing everything it can to ensure that 2017 is a better year than 2016 was. If that means swallowing its pride, so be it. According to new reports, Samsung is considering a new source for its batteries. That source is none other than LG Chem, otherwise known as one of Samsung’s chief rivals. According to a Reuters report on Monday, Samsung would love to make LG one of its smartphone battery suppliers, which would “diversify [Samsung’s] supplier base after the failure of its Galaxy Note 7.”
As it stands, Samsung depends upon group firm Samsung SDI and Chinese company Amperex Technology to supply its batteries. Amperex was initially seen to be a fix to the faulty batteries, but after replacement Note 7 units also began to spontaneously combust, it became clear that the problem had not been resolved. As such, seems it would be wise to look to another source. According to newspaper Chosun Ilbo, an industry official has suggested that there is “more than a 90 percent chance of a deal being struck” between Samsung and its rival smartphone maker and once ink meets paper, Samsung will likely use LG batteries for the second half of 2017.
Neither Samsung nor LG has commented on the rumored deal yet.
In addition to making batteries for its affiliate company LG Electronics, LG Chem also manufactures phone batteries for Apple. So if Samsung turns to LG, it will have another thing in common with its biggest U.S. rival.
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