Looks like Samsung is going to be the beneficiary of PortalPlayer's announcement that their media chip was not chosen by Apple for their next generation flash-based iPods.

"An executive from Samsung said the company won the MP3 media processor business for Apple's next-generation iPods."

Samsung has reportedly been working on the design for some time with Apple. The chip is a 32-bit processor based on ARM technology.

Samsung also supplies much of the Flash RAM for Apple's iPods. PortalPlayer's stock took a nosedive following last week's news.