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Wednesday, 16 May 2012 - Samsung loses $10 billion market value on Apple order report |
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      Edition: U.S. Africa Arabic Argentina Brazil Canada China France Germany India Italy Japan Latin America Mexico Russia Spain United Kingdom Home Business Business Home Economy Technology Media Small Business Legal Deals Earnings Social Pulse Business Video The Freeland File Markets Markets Home U.S. Markets European Markets Asian Markets Global Market Data Indices M&A Stocks Bonds Currencies Commodities Futures Funds peHUB World World Home U.S. Brazil China Euro Zone Japan Mexico Russia India Insight World Video Reuters Investigates Decoder Politics Politics Home Election 2012 Issues 2012 Candidates 2012 Tales from the Trail Political Punchlines Supreme Court Politics Video Tech Technology Home MediaFile Science Tech Video Tech Tonic Social Pulse Opinion Opinion Home Chrystia Freeland John Lloyd Felix Salmon Jack Shafer David Rohde Bernd Debusmann Nader Mousavizadeh Lucy P. Marcus David Cay Johnston Bethany McLean Edward Hadas Hugo Dixon Ian Bremmer Lawrence Summers Susan Glasser The Great Debate Steven Brill Jack & Suzy Welch Frederick Kempe Christopher Papagianis Breakingviews Equities Credit Private Equity M&A Macro & Markets Politics Breakingviews Video Money Money Home Tax Break Lipper Awards 2012 Global Investing MuniLand Unstructured Finance Linda Stern Mark Miller John Wasik James Saft Analyst Research Alerts Watchlist Portfolio Stock Screener Fund Screener Personal Finance Video Money Clip Investing 201 Life Health Sports Arts Faithworld Business Traveler Entertainment Oddly Enough Lifestyle Video Pictures Pictures Home Reuters Photographers Full Focus Video Reuters TV Reuters News Article Comments (1) Follow Reuters Facebook Twitter RSS YouTube Read Mladic taunts survivors at start of genocide trial | 11:06am EDT Judge to lead Greece to fateful June 17 vote | 12:15pm EDT GM plans to stop advertising on Facebook 15 May 2012 Apple readies iPhone with bigger screen: sources 11:54am EDT Samsung loses $10 billion market value on Apple order report 4:59am EDT Discussed 169 Romney apologizes for bullying incident at school 155 Germany’s Merkel dealt heavy blow in state vote 110 Weary warriors favor Obama Watched A look at the UK’s most beautiful face Thu, May 10 2012 Drought blamed for fall of Mayan civilization Tue, May 15 2012 'Mother killed kids': police Tue, May 15 2012 Pictures Reuters Photojournalism Our day's top images, in-depth photo essays and offbeat slices of life. See the best of Reuters photography.  See more | Photo caption  Dumpster diners A look at people who dumpster dive for food not because of need but to try to address societal issues about over-consumption.   Slideshow  Oldest yoga teacher Tao Porchon-Lynch, 93, was named the world's oldest yoga teacher by Guinness World Records.  Slideshow  Samsung loses $10 billion market value on Apple order report Tweet Share this Email Print Related News U.S. stocks trim gains, euro falls on ECB talk 11:48am EDT Sony, Panasonic in talks to make OLED TVs: sources Tue, May 15 2012 Sony sees return to profit, aims to halve TV losses Thu, May 10 2012 Toshiba sees rebound as Apple leads demand for NAND Tue, May 8 2012 Micron wins exclusive right to bid for Elpida: source Mon, May 7 2012 Analysis & Opinion Samsung moves on from Japan to nibble at Apple More Apple antitrust woes: CEO, directors at hub of poaching case Related Topics Tech » Hot Stocks » Asian Markets » Media » People walk at the main office building of Samsung Electronics in Seoul April 6, 2012. Credit: Reuters/Kim Hong-Ji SEOUL | Wed May 16, 2012 4:59am EDT SEOUL (Reuters) - Shares in Samsung Electronics Co slumped more than 6 percent on Wednesday, wiping $10 billion off the electronics giant's market value, on a report that Apple placed huge chip orders with troubled Japanese chip rival Elpida. Taiwan's DigiTimes, an online trade news site, reported that Apple recently placed large mobile dynamic random access memory (DRAM) orders with Elpida's 12-inch plant in Hiroshima, Japan, securing around half the facilities total chip production. It cited unnamed industry sources in its report, which hit shares of major chip suppliers to Apple. SK hynix shares closed almost 9 percent lower at a 20-week low - the biggest one-day drop in nine months. Samsung, the world's biggest DRAM maker, tumbled 6.2 percent to a 9-week low of 1.23 million won ($1,100) - the stock's biggest daily fall in nearly four years. "It looks like Apple doesn't want to see Samsung and hynix dominate the chip market. Apple wants to maintain its bargaining power by keeping Elpida running," said Choi Do-yeon, an analyst at LIG Investment & Securities. U.S.-based Micron Technology Corp is in talks to acquire Elpida's business as the Japanese firm tries to restructure after tough market conditions and global competition drove it into bankruptcy protection. "A merged Micron-Elpida could pose a significant threat to South Korean memory chipmakers, and Elpida's huge order from Apple was the spark that triggered these worries," said Lim Dol-yi, an analyst at Solomon Investment & Securities. Samsung declined to comment, as did the Japanese court-appointed trustee handling Elpida's rehabilitation. A spokeswoman for SK hynix said: "We are receiving more orders for mobile DRAM chips from our customers." She declined to comment on whether Apple had reduced orders from the firm. Technology shares were also impacted by a broader sell-off after talks to form a new Greek government failed, stoking concerns the country may exit the euro zone and increase financial market uncertainty. Shares in flat-screen maker LG Display slid 4.5 percent. Hyundai Motor lost 4 percent.. "Samsung shares were already facing pressure since offshore investors began cutting back on risk during the latest streak of sell-offs, but the news surrounding Elpida was the straw that broke the camel's back," said Rhoo Yong-suk, an analyst at Hyundai Securities. "It was just unfortunate timing that coincided with jitters surrounding Greece." (Reporting by Miyoung Kim; Additional reporting by Joonhee Yu and Hyunjoo Jin in SEOUL and Mari Saito in TOKYO; Editing by Jonathan Hopfner and Ian Geoghegan) Tech Hot Stocks Asian Markets Media Related Quotes and News Company Price Related News Tweet this Link this Share this Digg this Email Reprints   We welcome comments that advance the story through relevant opinion, anecdotes, links and data. If you see a comment that you believe is irrelevant or inappropriate, you can flag it to our editors by using the report abuse links. Views expressed in the comments do not represent those of Reuters. For more information on our comment policy, see http://blogs.reuters.com/fulldisclosure/2010/09/27/toward-a-more-thoughtful-conversation-on-stories/ Comments (1) IsaiahALLmighty wrote:   Edition: U.S. Africa Arabic Argentina Brazil Canada China France Germany India Italy Japan Latin America Mexico Russia Spain United Kingdom Back to top Reuters.com Business Markets World Politics Technology Opinion Money Pictures Videos Site Index Legal Bankruptcy Law California Legal New York Legal Securities Law Support & Contact Support Corrections Connect with Reuters Twitter   Facebook   LinkedIn   RSS   Podcast   Newsletters   Mobile About Privacy Policy Terms of Use AdChoices Copyright Our Flagship financial information platform incorporating Reuters Insider An ultra-low latency infrastructure for electronic trading and data distribution A connected approach to governance, risk and compliance Our next generation legal research platform Our global tax workstation Thomsonreuters.com About Thomson Reuters Investor Relations Careers Contact Us   Thomson Reuters is the world's largest international multimedia news agency, providing investing news, world news, business news, technology news, headline news, small business news, news alerts, personal finance, stock market, and mutual funds information available on Reuters.com, video, mobile, and interactive television platforms. Thomson Reuters journalists are subject to an Editorial Handbook which requires fair presentation and disclosure of relevant interests. NYSE and AMEX quotes delayed by at least 20 minutes. Nasdaq delayed by at least 15 minutes. For a complete list of exchanges and delays, please click here.

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