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TSMC will likely get golden ticket as Apple’s main A9 chip supplier

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Gene testing, coming soon to an iPhone near you. Photo: Jim Merithew/Cult of Mac
The next iPhone's processor will be made in Taiwan. Photo: Jim Merithew/Cult of Mac
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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.

Samsung reportedly grabs piece of Apple’s A9 chip pie

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Chips
Is it too early to start thinking about the iPhone 7? Not for Apple's suppliers it's not. Fabrizio Sciami/Flickr CC
Photo: 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.

This differs from the current iPhone 6 devices, where TSMC is reportedly responsible for producing the A8 chips thanks to a deal inked in 2013.

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.

Samsung could supply 80% of Apple’s future mobile chips

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Chips
Fabrizio Sciami/Flickr CC
Photo: Fabrizio Sciami/Flickr CC

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%.

Samsung and TSMC battle it out for Apple’s A9 chip orders

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Chips
Fabrizio Sciami/Flickr CC
Photo: Fabrizio Sciami/Flickr CC

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.

TSMC lands CPU orders for Apple’s giant-sized iPad

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The 2nd gen iPad Air's A8X chip and logic board. Photo: Apple.Club.tw
The 2nd gen iPad Air's A8X chip and logic board. Photo: Apple.Club.tw

There have been plenty of reports lately about Apple’s plans to unleash a giant-sized 12.9-inch iPad early next year, and according to a new report from Digitimes, Taiwan Semiconductor Manufacturing Company (TSMC) has landed the orders to make its soup-up processor.

Apple’s next-gen A9 processor is already ahead of schedule

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TSMC and Apple: productive partnership
TSMC is one of Apple's biggest partners.
Photo: Apple/TSMC

Apple is still reliant on Samsung for many of the iPhone’s internal components, including the fabrication of its almighty A-series processors, but in an effort to secure more processor orders from Apple, Taiwan Semiconductor Manufacturing Company (TSMC) is already ahead of schedule with production of the next-generation A9 processor.

Apple’s new production partners are bad news for Samsung’s chip business

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It’s not easy being Samsung!

After missing sales targets, and being knocked off the top smartphone spot in China by low-end rival Xiaomi, the South Korean Lex Luthor to Apple’s Superman is also apparently being hit hard by Apple’s embrace of other component makers for its devices.

In a recent press conference, Samsung executives admitted how its role as third party chip manufacturer (something which makes up half of Samsung’s microprocessor business) is being negatively affected by Apple’s decision to work with other partners like TSMC.

TSMC may be losing A-series chip orders to Samsung

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There’s a line in 1990’s The Godfather: Part III when Al Pacino’s Michael describes his inability to extract his family from a life of crime, saying: “Just when I thought I was out, they pull me back in.”

Much the same could be said for Apple’s relationship with long-time chip supplier and bitter rival, Samsung. Having previously heard that Apple was handing the majority of the iPhone 6 chip orders to Taiwan Semiconductor Manufacturing Co Ltd (TSMC), a new report suggests that TMSMC is now likely to lose future orders (most likely for the next-next generation iPhone 6s) back to Samsung.

KGI Securities analyst Michael Liu claims that TSMC will be supplanted by Samsung in the production of 14-nanometre A-series smartphone chips for Apple and Qualcomm, beginning in the second half of 2015.

Apple files for Samsung divorce with first batch of TSMC microprocessors

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Taiwan Semiconductor Manufacturing Co. (TSMC) has reportedly started shipping its first batch of iPhone and iPad microprocessors to Apple, according to sources familiar with the matter.

By making microprocessors for Apple, TSMC is taking over a role previously carried out by Samsung. Some skeptics had previously suggested that TSMC — which is the world’s biggest contract chipmaker in terms of revenue — wouldn’t be able to deliver the complex chips to Apple’s satisfaction.

Apple’s A8 Processors Will Be Built On Revolutionary 14nm Process [Rumor]

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Although reports have surfaced that Apple may be building a top secret $10 billion chip fab, right now, the vast majority of Apple’s A-series chips are made by Samsung. This is obviously not an ideal situation, as it gives Apple’s arch smartphone rival the advantage of knowing what the iPhone-maker is planning on doing next, at least from a silicon perspective.

It looks like Apple may soon be able to rely less on its nemesis when it comes to building chips, though. A new report says that Taiwan Semiconductor Manufacturing Company (TSMC) will largely take over for Samsung in making iPhone and iPad chips in the future. And they’ll be pretty crazy advanced chips, too, at least if the rumors can be believed.

Apple Plans To Shift Most Of A8 Production Away From Samsung And Onto TSMC

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chips
Apple chips
Photo: Apple

As the battle for global smartphone supremacy has matured into just a two company battle pitting Apple against Samsung, Cupertino is looking to add more between itself and its archenemy by becoming less dependent on Samsung to build chips like the A7 processor featured in the iPhone 5s.

While Apple can’t totally rid itself of Samsung components just yet, a new report  claims that Apple plans to lean on Taiwan Semiconductor Manufacturing Co. (TSMC) to handle more of the manufacturing of the A8 processor next year, rather than giving all the work to Samsung.

Apple Goes On A Hiring Binge In Taiwan To Reduce Dependency On Foxconn And Samsung

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Apple-Taipei_JobOpenings

Following reports that it was looking to open a new research and development center in Taiwan, Apple is now going on a massive hiring binge in China for talented engineers, having recently put up openings for over 300 new employees in Taiwan on the professional social networking site LinkedIn.

Initial iPhone 5S Shipments May Be Reduced Due To Supply Constraints [Rumor]

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iphone 5 display sw

Apple may be forced to reduce its iPhone 5S orders for the fourth quarter of 2013 due to supply constraints affecting the handset’s rumored fingerprint sensor and LCD driver chips. Both components were expected to enter production in late June or early July, but that’s now been pushed back into late July, according to industry sources.

Samsung To Supply A9 Processors For iPhone 7 [Rumor]

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Apple-A-processors

Samsung Electronics has reached a deal with Apple to supply A9 processors for the iPhone 7 from 2015, The Korea Economic Daily reports. Samsung has been producing Apple’s mobile processors since the iPhone first launched in 2007, but recent rumors have claimed the Cupertino company has been looking to take its business elsewhere.

Apple Continues To Inch Away From Samsung With TSMC Processor Deal For 2014

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TSMC and Apple: productive partnership
TSMC is one of Apple's biggest partners.
Photo: Apple/TSMC

Apple and Samsung are heated rivals when it comes to selling smartphones and tablets, but the two companies are still in bed behind the scenes. Samsung makes the majority of Apple’s processors for the iPhone and iPad, and there hasn’t been another manufacturer that’s capable of replacing Samsung’s assembly line prowess.

Moves are being made to distance Samsung from the iPhone’s guts, however. A deal with TSMC (Taiwan Semiconductor Manufacturing) has been struck for Apple’s mobile processors. TSMC will start making a chunk of the ‘A’ series chips for Apple in 2014, but Samsung is still supplying the bulk of the orders.

The Wall Street Journal confirmed the deal over this past weekend after Digitimes recently said that TSMC will start making upcoming chips for Apple’s next-gen devices. “TSMC plans to start mass-producing the chips early next year using advanced “20-nanometer” technology, which makes the chips potentially smaller and more energy-efficient,” according to the Journal.

Source: The Wall Street Journal

TSMC Reaches Deal With Apple To Produce A8, A9 And A9X Processors [Rumor]

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Taiwan Semiconductor Manufacturing Company (TSMC) has reached a deal with Apple to supply its next-generation A8, A9, and A9X processors for iOS devices, according to industry sources. The company will reportedly begin manufacturing the chips using a 20-nanometer process, then upgrade to 16-nanometer and later 10-nanometer processes in the future.

Apple Will Turn To TSMC For A7 Chip When Deal With Samsung Expires [Rumor]

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Taiwan Semiconductor Manufacturing Co. (TSMC) will reportedly land a deal for Apple’s future “A7” processors when the Cupertino company’s current contract with Samsung expires in 2014.

Samsung has been responsible for Apple’s mobile chips since the introduction of the A4 back in 2010, but Apple has seemingly been looking to take its business elsewhere since the pair became embroiled in a series of lengthy legal battles.

Apple Suppliers TSMC And Hon Hai Are Hiring 5,000 New Employees Each

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tsmc

Being in business with Apple can’t be all that bad right now. Despite a report this morning that claimed Apple’s suppliers experienced weak sales in February, there are a few Apple suppliers that are hiring more employees to meet demand.

Both TSMC and Hon Hai are looking to hire 5,000 new employees, which might mean that Apple really is looking to ditch Samsung in favor of TSMC.

What The 28nm A5 Chip Inside The New Apple TV Means For The Retina iPad Mini

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Screen Shot 2013-03-11 at 11.13.41 AM

The Apple TV, Cupertino’s “hobby” of a set-top box, is often used to test out new fabrication process for the A-series chips that go into iPhones, iPod touches and iPads. The last Apple TV ran a 32nm A5 processor built by Samsung with a single-core disabled, which eventually ended up (in a dual-core capacity) in the iPad mini.

With the new third-gen Apple TV, Apple’s at it again. The new Apple TV is functionally and physically identical to its predecessor, except for one detail: it features a 28nm A5 chip built by TSMC. But what does it mean?

Apple Starts Taking A-Series Chip Production Away From Samsung

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chip

This could be the first ripple of a very big wave: the Commercial Times out of Taiwan is claiming that Taiwan Semiconductor Manufacturing (or TSMC) is about to start trial production for Apple’s A6X SoC this quarter.

Why is this a big deal? Apple’s arch-nemesis Samsung currently manufacturers the A6X chip… and it might herald Apple shifting all of its multi-billion dollar chip business away.

Apple Might Not Be Building $10 Billion U.S. Chip Plant After All

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chips
Apple chips
Photo: Apple

There’s been a lot of talk about Project Azalea, Apple’s rumored $10 billion project with TSMC to build a top-secret chip plant on domestic shores. We’ve heard it might be built in New York. We’ve heard it might be built in Portland. Wherever it’s built, though, it’s believed to be a major blow against Apple’s frenemy Samsung, who currently builds the majority of Apple’s custom ARM chips.

Unfortunately, it turns out that Project Azalea might not have anything to do with Apple after all, with TSMC’s CEO himself now denying it.

iPhone 5 Sales Expected To Top 45 Million Units In Q4 As Production Rates Improve [Rumor]

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iphone5teardown5

Productions rates for the iPhone 5 are improving, supply sources claim, just in time for the handset to make its debut in more than 50 additional markets throughout December. Now that Apple has caught up with demand, the handset’s shipping delay has been reduced from four weeks to just 2-4 business days. Suppliers now expect the Cupertino company to sell 45 million iPhone 5 units during the fourth quarter alone.

Apple Attempts To Purchase Exclusive Access To TSMC’s Smartphone Chips [Report]

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tsmc
Exclusivity to TSMC's production would make things very difficult for Apple's competitors.

In an effort to better meet the demand of its mobile devices — and make things very difficult for its competitors — Apple has reportedly been bidding to secure exclusive access to TSMC’s (Taiwan Semiconductor Manufacturing Co.) custom smartphone chips. Qualcomm has also been bidding up against the Cupertino company, and both parties are believed to have submitted bids in excess of $1 billion.

Apple’s Television Set Will Be Powered By A Custom-Built Processor Like Its iOS Devices [Rumor]

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Like its iPhone, iPad, and iPod touch which utilize the company’s A4 and A5 processors, Apple’s upcoming television set will be powered by a custom-built chip made specifically for the Cupertino company. Sources claim that a number of manufacturers are currently bidding for Apple’s order, including Taiwan Semiconductor Manufacturing Company (TSMC), Advanced Semiconductor Engineering (ASE), and Siliconware Precision Industries (SPIL).