Apple cuts Samsung ties a bit more, TSMC now shipping Apple chips for iOS

10 July 2014, 1:46 pm EDT By Joseph Mayton Tech Times
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The Taiwan Semiconductor Manufacturing Company has reportedly begun shipping to Apple processor chips that previously had been sourced from Samsung in what could be a coup for Apple in its ongoing battle for tech market supremacy.

According to reports, a deal that came about last year will see the chipmaker begin supplying A-series chips for iOS devices.

Most observers see the chip deal as a win-win for both companies as it allows Apple to reduce and ultimately end its reliance on Samsung for iOS components, which would help the company move toward a more sustainable option when developing products that do not rely on a competitors' hardware.

Apple also made similar statements when announcing the new deal with TSMC.

"The development means Apple doesn't have to rely solely on Samsung for microprocessors, a critical component that controls applications running in smartphones and tablets," Apple said.

"By securing an additional supplier, Apple will have more leverage when it comes to price negotiations with its chip suppliers in the future. Through the deal, TSMC adds a high-profile customer that could help support expensive research investments the manufacturer needs to move to advanced technology and will likely boost its overall revenue this year, analysts said."

Overall, it should help create a better way of creating products and moving forward on innovation. If the company is able to get TSMC chips in the majority of its devices going forward, it would reduce the amount of Samsung chips required and would enable Apple to have more fluidity in its devices that are based on iOS.

As previously reported, TSMC began mass producing chips for the Silicon Valley company with its 20-nanometer process earlier in the year and is developing a new 16-nanometer design with Apple for future products and devices. It also comes as Apple is rumored to also be dealing with Samsung on an A9 processor that could use a 14-nanometer design for launch next year.

Neither company has commented on the developments.

Apple and Samsung are the leading mobile phone companies globally and have been battling it out over the latest and most innovative technology for some time. Apple appears to be looking for an alternative to Samsung to progress its own devices farther without the watchful gaze of the Korean tech manufacturer.

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