Apple May Break a 12-Year Chip Strategy

TSMC has been the exclusive supplier of Apple's systems-on-a-chip since 2014, but that 12-year streak could beryllium nearing its end.


According to The Wall Street Journal, Apple is exploring whether immoderate of its lower-end processors could beryllium manufactured by a institution different than TSMC.

"Now that TSMC is doing much concern with Nvidia and different AI companies, radical with cognition of the spot proviso concatenation said Apple was exploring whether immoderate lower-end processors could beryllium made by idiosyncratic different than TSMC," the study said.

The study did not notation immoderate candidates, but erstwhile rumors person indicated that Intel could statesman supplying immoderate lower-end Apple processors successful 2027 oregon 2028.

A fewer months ago, GF Securities expert Jeff Pu said that helium expected Intel to scope a spot proviso woody with Apple for astatine slightest immoderate non-pro iPhone models starting successful 2028. Based connected that timeframe, Intel could proviso Apple with astatine slightest a information of A21 oregon A22 chips for aboriginal iPhone models, if the companies hold to a partnership.

Apple's instrumentality to Intel might besides impact immoderate Mac and iPad chips. Last year, Tianfeng Securities expert Ming-Chi Kuo said helium expected Intel to statesman shipping Apple's lowest-end M-series spot for prime Mac and iPad models arsenic aboriginal arsenic mid-2027. For this, Kuo said Apple planned to utilize Intel's 18A process. He did not notation the iPhone.

There is nary denotation that Intel would play a relation successful designing the iPhone chips, with its engagement expected to beryllium strictly constricted to fabrication. That would disagree from the epoch of Intel Macs, which utilized Intel-designed processors with x86 architecture. Apple began transitioning distant from Intel processors successful Macs successful 2020.

Intel would assistance Apple diversify its proviso chain, which could travel astatine a pivotal time, arsenic Nvidia has reportedly surpassed Apple arsenic TSMC's largest customer amid rising contention for NAND representation and RAM spot supply for AI servers.

TSMC is not the lone spot supplier seeing accrued request amid the AI server boom, arsenic Samsung and SK Hynix person some gained capable leverage to request Apple wage much for RAM chips, according to The Wall Street Journal's proviso concatenation sources.

On an net telephone past week, Apple CEO Tim Cook said that rising representation spot prices had a "minimal impact" connected Apple's gross borderline past quarter, but helium does expect a "bit much of an impact" connected the company's gross borderline successful the existent quarter. He said Apple "will look astatine a scope of options to woody with that" arsenic necessary.

Apple reported record-breaking revenue of $143.8 cardinal past quarter, up 16% year-over-year, and it is predicting akin 13% to 16% year-over-year maturation and gross borderline of 48% to 49% successful the existent quarter, truthful the institution is inactive reporting awesome net results contempt concerns surrounding representation spot prices.

Apple expert Ming-Chi Kuo does not expect terms increases for the iPhone 18 lineup.
This article, "Apple May Break a 12-Year Chip Strategy" archetypal appeared connected MacRumors.com

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