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Apple will replace Samsung With TSMC as components manufacturer

Chethan Rao


Apple is rumored to drop Samsung in favor of a Taiwanese components manufacturer as its primary components supplier


Apple will replace Samsung With TSMC as components manufacturer

Published on Jun 28, 2011

The legal battle between Apple and Samsung has been going on from some months now. And quite frankly it doesn’t seem like it will end soon.

With Apple accusing Samsung of infringing on some of its copyrights and Samsung counter suing Apple, there is absolutely no sign of a compromise. Samsung as most of you are aware, manufactures most of the hardware of Apple products, which includes the A4 and the A5 processors, flash memory components etc. It wouldn’t be wrong to say that Apple is one of Samsung’s biggest clients. But now with the on-going feud, Apple is considering other companies to replace Samsung.

With Samsung currently producing the A5 dual core processor for Apple, it is likely that the company would continue to supply parts till the contract period ends. But as far as the next line of processors are concerned (A6), Apple is looking for other companies.

It is being said that Apple is in talks with TSMC, a Taiwanese components manufacturer to replace Samsung as the primary components supplier. The A6 is a processor designed by Apple which is supposed to be efficient and much snappier than the existing range of chipsets.

TSMC is capable of producing processors using the 28nm technology whereas the current line of A5 chipsets are produced using the 40nm process.  The next iPhone (dubbed as the iPhone 5) will feature the A5 processor seen on the iPad 2, which as we said earlier is manufactured by Samsung. But we could expect Apple to terminate its existing contract with Samsung. We’re not sure if this split will cost Samsung much in terms of revenue, but Samsung would not mind losing Apple as its client.

This however means that Samsung can now intensify the legal war against Apple. Apple originally claimed that 14 of Samsung’s handsets infringe on its design patents. Apple upped the ante, by launching a fresh assault on Samsung with the mention of 11 more devices some days ago.

 

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