In an earlier post, we looked at the major suppliers for iPhone’s components. Starting with this post, over next couple of weeks we will analyze the major players in the iPhone’s component ecosystem.
We begin with Samsung (0593Q:London Stock Exchange), which accounts for approximately $76 or 30% of iPhone’s total component cost in the 8 GB version. South Korean giant Samsung Electronics Co., Ltd. has a substantial global presence in the Digital Media, Telecommunication Network, Digital Appliance, Semiconductor, and LCD markets. It is the world’s leading manufacturer of DRAMs, SRAMs, and flash memory. An iPhone carries the following Samsung supplied components:
* Advanced RISC (ARM) applications processor
* DDR SDRAM
* NAND flash memory
Among these components, NAND has the highest dollar share. It is estimated that iPhone carries NAND Flash worth $24 and $48 in the 4GB and the 8GB versions, respectively. Apple’s choice of Samsung for NAND memory hasn’t come as a surprise. Samsung also supplies NAND flash memory for Apple’s iPods. >>>
Both the Nintendo Wii and Apple’s iPhone experienced terrific product acceptance but how the two companies handled that success tells us something about Japanese and American product introductions.
The Wii was introduced in November 2006 and was an instant hit with its more active approach to the traditional video game space. No longer do you sit exclusively on a couch and exercise only your fingers and wrists but with Wii games you stand up, move about, swat video tennis balls including some top spin, you cast for fish in a stream and reel them in to feed yourself in an adventure game.
And you sweat. Cool. >>>
I started this series on Local Search by discussing the current state of the technologies, content, and user experience. For Local Search to become a significant business, like paid keyword search, much needs to change.
Google dominates the business of keyword search because they started with a great search service… easy to use, lots of content, and relevant results. At the time, the basic service stood out starkly, in a sea of busy portals, plastered with banner ads. Google.com hasn’t changed much, since those early days, other than through the introduction of AdWords. Users flocked to the service, and advertisers ultimately found the audience. Of course, Overture helped a lot by pioneering the paid search, pay-per-click business model, and showing the advertising industry how they could sponsor search results. >>>
Based on my life experiences, I can assert that it is this belief in
learning from experience, a growth mindset, the power of chance events, and self-reflection that have helped me grow to the present.
Back in the 1960s, the odds of my being in front of you today would have been zero. Yet here I stand before you! With every successive step, the odds kept changing in my favor, and it is these life lessons that made all the difference.
My young friends, I would like to end with some words of advice. Do you believe that your future is pre-ordained, and is already set? Or, do you believe that your future is yet to be written and that it will depend upon the sometimes fortuitous events?
Microfinance is a powerful, sustainable way of reducing poverty. However, despite its tremendous strength, it’s just not available to enough people. Three decades after Muhammad Yunus started giving microloans to women in the village near his university in Bangladesh, fewer than 20% of the world’s working poor have access to basic financial services.
Unitus and other microfinance organizations are focused on dramatically expanding the number of people served by microfinance. Technological innovation in the microfinance industry will help us reach that goal. What are some developments on the horizon? >>>
I conclude the interview by asking a bit more of a long-term, theoretical question. What I am attempting to reflect on here is the potential of Kurdistan becoming a regional influence for economic development. The Middle East, with Dubai in particular, has been growing rather significantly in global importance. Tourism is increasing, there are obvious potentials to energy, and there is significant human intellect there which has not been fully recognized or tapped.
So the question now is, since the Kurdish area has had a 10-year head start on the rest of Iraq economically, is it the future leader of the country? As bleak as the situation there looks now, there is the potential that a decade from now it may be poised for rapid economic growth. Of course, there is the potential the situation will degenerate further, at which point you wonder if the Kurdish region will move on to become a regional icon while the remainder of Iraq remains behind.
Drawing parallels with India, for example, it was Bangalore that led the technology-led boom, while much of the rest of India remained in relative darkness, and still does. >>>
I want to share with you, next, the life lessons these events have taught me.
1. I will begin with the importance of learning from experience. It is less important, I believe, where you start. It is more important how and what you learn. If the quality of the learning is high, the development gradient is steep, and, given time, you can find yourself in a previously unattainable place. I believe the Infosys story is living proof of this.
Learning from experience, however, can be complicated. It can be much more difficult to learn from success than from failure. If we fail, we think carefully about the precise cause. Success can indiscriminately reinforce all our prior actions. >>>
If you have read much of world news lately, you will notice there has been ongoing tension between the Kurdish region and Turkey. Reflecting back on the stability issues, this must be diffused in order to allow significant external investment to take place.
SM: How do you answer the questions regarding the recent threat of invasion by Turkey? — this is the type of thing that would be certain to concern potential investors. QT: On the Turkish issue, the recent increase in tension is the result of Turkey’s objection to the presence of the group formerly known as the Kurdistan Workers Party (PKK) inside Iraq. >>>