As they are so dependent on Samsung as a supplier I can't help thinking they're trying to get leverage for negotiations of future components, rather than actually kill the Galaxy
It's a mutually dependent relationship. Apple are Samsung's largest customer, Samsung may compete with Apple but they need Apple as much as Apple need them.
To understand how important Apple is to Samsung, Apple have just started buying RAM from someone else (in addition to Samsung). In response the value of Samsung dropped $10bn.