Apple to no Longer buy Samsung-made Chips

Neal Alfie Lasta on Oct 14th 2012 in Apple 0

Apple and Samsung’s notorious patent lawsuits against each other have tainted their relationship, so much so that latest reports from CNET and other sources have claimed that Apple might no longer rely in Samsung for its product chips.

Instead, Apple will supposedly strike a deal with Taiwan Semiconductor Manufacturing Company or TSMC for quad-core processors.

However, Apple has shown interest in the nanometer processes used by TSMC, providing more efficient and powerful chips than those delivered by Samsung. As such, the company partner switch doesn’t necessarily have to be due to the rift between Samsung and Apple.

By late 2012 or early 2013, Apple switch chip manufacturing partners from Samsung to TSMC, based in Taiwan. (Image: via pstpl.com)

Once TSMC becomes a partner of Apple, though, Samsung will lose a huge customer. According to Gus Richard, a chip analyst from Piper Jaffray, “Apple is working with TSMC at 20 nanometers.”

As Apple gradually changes from one manufacturing partner to another, we will most likely see Apple products that have chips made from Samsung, while other products have already started using chips from TSMC.

Getting Apple as a TSMC is definitely a good thing for TSMC, but this is bad news for the company’s other clients. This is because Apple will definitely buy a huge number of processors. Other clients will just get less attention from TSMC.

Apple can start testing TSMC chips by late 2012 or early 2013. Apple products that will be launched in 2014 can start using these chips.