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Apple signs deal with chip maker TSMC to reduce reliance on Samsung

It’s no secret that Apple has been trying to move away from Samsung as one of its primary parts suppliers, and the creator of the iPhone continues to sign deals with other companies to try and make that happen. The Wall Street Journal reports that Apple has finally signed an agreement with chip manufacturer TSMC that will see the latter company providing processors for devices like the iPhone and iPad.

Apple has reportedly been trying to bring TSMC onboard for some time, but technical problems with its chip manufacturing process has delayed the deal in the past. It looks like TSMC has overcome its problems, though, and will begin providing its chips to Apple starting in 2014. Samsung will continue to offer its own processors until then.

There’s two key pieces of information to take away from all of this. First, future versions of the iPhone and iPad will use 20nm processors, decreasing die size along with power consumption. That should lead to more efficient iDevices in general, and who doesn’t like longer lasting gadgets?

The main takeaway, though, is that Apple finally gets to put distance between itself and Samsung in another part of the supply chain. Apple is one of Samsung’s biggest customers, yet the two companies are each other’s rivals in the smartphone business. There are also the sticky legal issues that the duo are playing out in courts across the world, no doubt further souring the relationship. At the end of the day, this is all great news for Apple, but Samsung is about to lose a lot of revenue from one of its major spenders.

Spotted at The Next Web


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