The first Apple devices to boast A9 chips aren’t even out yet, and already manufacturers are fighting it out to get a piece of the next-next-gen A10 order action — which are likely to make their debut with the iPhone 7 in 2016.
Having come dangerously close to losing out on A9 orders entirely, TSMC is reportedly wasting no time in investing in the right equipment to wow Apple into handing over its order book for the A10 chips.
Foxconn is no fan of Samsung. Photo: Jim Merithew/Cult of Mac
Foxconn’s CEO Terry Gou is no fan of Samsung. In fact, according to a new report, he’s been trying to use his influence as Apple’s biggest manufacturing partner to get Apple to lessen its dependency on Samsung — while a giving a shot to other companies.
The reason? He thinks Taiwanese manufacturers need to work together to overcome the growing threat of the South Korean tech giant, which could potentially swallow all of their jobs.
Samsung appears to have won the A9 chip order war.
The battle over who will manufacture the A9 chip for Apple’s next-gen iPhone has reportedly come to a close, with Apple giving the nod to long-time frenemy Samsung instead of current A8 chipmaker Taiwan Semiconductor Manufacturing Co. (TSMC).
Samsung might finally be kicked the curb when it comes to who gets the lion’s share of Apple’s chipmaking business. According to analysts Olivia and Rick Hsu from Daiwa Securities, Taiwan Semiconductor Manufacturing Co. (TSMC) is likely to snap up 70 percent of all Apple’s A9 and A9X orders, leaving rival chipmaker Samsung out in the (relative) cold.
The reason for this is reportedly the “superior yield” and “manufacturing excellence in mass-production” exhibited by TSMC, which will get it a large percentage of the A9 orders, and all of the A9x orders for the next generation iPad.
Knowing how much is at stake, things can get pretty vicious when you’re a manufacturer with a shot at providing Apple with vital components for its next generation iPhone.
We’ve known for some time that Taiwan Semiconductor Manufacturing Co. and Samsung have been battling it out over who gets picked by Apple to make its forthcoming A9 processors — with Samsung apparently having the advantage currently, due to offering Apple a better deal financially.
TSMC isn’t taking this lying down, however. In fact, the company is currently suing an ex-employee who allegedly leaked R&D secrets to Samsung; thereby allowing it to both catch up in the chip fabrication business.
The next iPhone’s processor will be made in Taiwan. Photo: Jim Merithew/Cult of Mac
The iPhone 6 has barely been on the market for three months but the iPhone 6S rumor mill is starting to heat up with a battle brewing between Taiwan Semiconductor Manufacturing Co (TSMC) and Samsung to become the main supplier of the next-gen A9 processors.
Last month a Digitimes rumor claimed Samsung already locked up A9 chip production, but according to the Taipei Times, TSMC will continue to be the main supplier of Apple’s processors slated to the next generation of iPhones and iPads in 2015.
Researchers at the Market Intelligence and Consulting Institute (MIC) say that while the two companies have similar capabilities, TSMC is poised to win the order thanks to it’s better yields.
Is it too early to start thinking about the iPhone 7? Not for Apple’s suppliers it’s not. Fabrizio Sciami/Flickr CC
Samsung will snap up the majority of the next generation iPhone A9 chip orders, while Taiwan Semiconductor Manufacturing Company (TSMC) will manufacture the chips for the next iPad devices, according to a new report coming out of China.
Although it was previously reported that the two companies were locked in a tussle to pick up the Apple orders, Samsung apparently beat out TSMC by quoting Apple lower prices for the 14nm FinFET process production. Samsung has upped its game to secure Apple orders following its posted dismal Q3 earnings, which were down a whopping 60 percent in operating profit from the same period in 2013.
Apple has apparently put its faith in Samsung to build the A-series application processors for its next generation iPhones and iPads, according to a new report coming out of Korea.
As of recently, Samsung was competing with Taiwan Semiconductor Manufacturing Company (TSMC) to build the chips, which carry a contract said to be worth “billions of dollars.”
Unlike conventional memory chips, application processors reportedly count as logic chips and are said to carry much higher margins. From 2016, Samsung will supply 80% of the APs used in Apple devices, while TSMC will provide the remaining 20%.
Competition is heating up between Samsung and Taiwan Semiconductor Manufacturing Company (TSMC) to build Apple’s next generation A9 chips, according to a new report citing industry sources.
TSMC is currently manufacturing the majority of the A8 chips used in Apple’s latest iPhones, thanks to a deal inked in 2013. Samsung, however, is keen to reestablish its previous position as the sole provider of Apple’s A-series chips — and is willing to lower its quotes to do so.
Samsung is also pushing the fact that it can provide other services to Apple, including the manufacture of flash memory and backend services in-house.