Together with Foxconn, however, Sharp could have greater leverage in negotiating the prices of parts and gain know-how to manufacture Apple TV displays on a wider scale without compromising on quality. If Foxconn/Sharp can form a partnership potent enough to compete with Samsung on a sustained basis and meet Apple's lofty quality standards, Apple can finally hope to reduce its dependence on Samsung and foster greater competition in its supply chain. This would subsequently lift the company's gross margins, especially on the iPad which is costlier to produce than its predecessors due to the expensive retina display and LTE support.
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