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Apple May Give Up On Samsung-Made Chips In 2014

Apple and Samsung are currently touted as two bitter rivals in the mobile arena. The two companies have launched multiple patent lawsuits against each other over the years. However, since the very start, Apple has been using Samsung’s chips in its iPad and iPhone devices. This may change in 2014.


Apple chip

It is rather surprising that despite so many differences and being direct rivals in the smartphone and tablet arena, the two companies are also directly in business. Samsung manufactures processors which go into iPad and iPhone units, and Apple pays a handsome amount for these chips. So both companies are also co-dependent.

However, Apple may finally be ready to move on to other vendors in the coming year 2014. According to a WSJ report, Apple has recently inked an agreement with Taiwan Semiconductor (TSMC) which hints that Apple is about to severe its direct reliance on Samsung’s hardware.

This speculation has been further confirmed by the statement of a TSMC executive, according to whom, TSMC-manufactured chip will begin to be used in Apple devices by 2014. The same executive also says that Apple may continue to rely on Samsung for another year or so but over time, Apple is certainly looking forward to ending this uneasy partnership.

The key reason for ending a direct relationship with Samsung, naturally, is simply that the two companies have too much mutual distrust and legal complaints lodged against each other. TSMC makes an apt alternative for Apple since the manufacturer has furnished chips for many big wigs in the past, including the likes of Nvidia and Qualcomm.

Source: WSJ

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