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Old Mar 10, 2014, 07:51 AM   #1
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Samsung Manufacturing Issues Reportedly Overblown, May Split A8 Production with TSMC




Samsung may play a larger role in the production of Apple's next generation A8 processor than previously rumored, claims ZDNet Korea (via GforGames). According to the report, the Korean company has already signed a contract to produce the A8 processor at its Austin, Texas plant and is in the final stages of testing before mass production begins.

This latest information from an anonymous Samsung official contradicts an earlier report that said Samsung was struggling with poor yields of the A8 processor and could not meet Apple's demands. As a result, the bulk of A8 chip production was said to be shifting to Taiwan Semiconductor Manufacturing Company (TSMC). These "manufacturing issues" were "exaggerated claims" says the Samsung source, stating that the company is ready to start mass production of the A8 in Q2 2014.

While Samsung and TSMC may be splitting A8 production however, the latter already appears to have a lead on the Korean manufacturer. A recent report from Taiwan's Commercial Times claims TSMC has started production of the next generation chip.

Samsung has been the exclusive manufacturer of Apple's A-series chips, but Apple has been looking to depend less on its rival by shifting some of its orders to TSMC. Apple reportedly struck a deal with TSMC in 2013 to start A-series chip production early in 2014.


Article Link: Samsung Manufacturing Issues Reportedly Overblown, May Split A8 Production with TSMC
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Old Mar 10, 2014, 07:56 AM   #2
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It seems that these days all the rumors we get are contradicting each other
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Old Mar 10, 2014, 07:59 AM   #3
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Quote:
Originally Posted by Freida View Post
It seems that these days all the rumors we get are contradicting each other
Also known as, just making stuff up.
Obviously none of these so called reporters have any idea what is going on.
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Old Mar 10, 2014, 08:00 AM   #4
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Hasn't that rumor pattern about Samsung stopping fabbing Apple SoCs been repeated for the last 3 years already?
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Old Mar 10, 2014, 08:01 AM   #5
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Regardless of who is producing it, the A8 chip is going to be incredibly powerful!!
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Old Mar 10, 2014, 08:05 AM   #6
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Phew that was lucky, Samsung would've been toast if they were truly sidelined by their unwitting mentor. Who would they copy [cough], I mean draw inspiration from if they had been?

It's a full time job copying the competition and rerouting your R & D budget into marketing, to ram your products down consumers throats. Genius business tactic - cheaper to copy and pay for patent infringement in court than to spend on original R & D.

Samsung are the equivalent of those dodgy market places in south east asia where you can buy cheap knock offs of anything from Armani suits to televisions. When are the courts going to stop this? I guess there is a political and economic motivation behind allowing Samsung to get away with this consistently - other than last year's victory.
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Old Mar 10, 2014, 08:11 AM   #7
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Originally Posted by Mattsasa View Post
Regardless of who is producing it, the A8 chip is going to be incredibly [edit] magical!!
I have edited the post for you. LOL

In all seriousness though I am salivating at the thought of the new iphone if the rumours prove true!
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Old Mar 10, 2014, 08:12 AM   #8
Freida
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Originally Posted by Mattsasa View Post
Regardless of who is producing it, the A8 chip is going to be incredibly powerful!!
What is the general belief of expectations? Are there any specifics one could possible expect except from faster chip?
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Old Mar 10, 2014, 08:21 AM   #9
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From all the lawsuits between Samsung and Apple, it is clear that it has all been about the OS and Software related patents. I have yet to see any issues or concerns with Samsung stealing hardware designs (other than the exterior/visible aspects). So, I doubt that Samsung making chips is as big a concern for Apple. Where I am going is that I am sure that on principle, if nothing else, Apple wants to get rid of Samsung, but there is no major urgency and I think Apple will do it as other plants come up to speed and can handle the volume and quality requirements. In the meantime, Apple will continue the relationship to use Samsung for chips.
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Old Mar 10, 2014, 08:24 AM   #10
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I have edited the post for you. LOL
Yes, the A8 will indeed be magical. I'm sure it will also be elegant, delicious, and just gorgeous too - especially if they let Jony "design" the outer case for it!!
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Old Mar 10, 2014, 08:26 AM   #11
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This Apple love/hate relationship with Samsung is nothing short of bizarre.
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Old Mar 10, 2014, 08:33 AM   #12
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Originally Posted by triton100 View Post
Phew that was lucky, Samsung would've been toast if they were truly sidelined by their unwitting mentor. Who would they copy [cough], I mean draw inspiration from if they had been?

It's a full time job copying the competition and rerouting your R & D budget into marketing, to ram your products down consumers throats. Genius business tactic - cheaper to copy and pay for patent infringement in court than to spend on original R & D.

Samsung are the equivalent of those dodgy market places in south east asia where you can buy cheap knock offs of anything from Armani suits to televisions. When are the courts going to stop this? I guess there is a political and economic motivation behind allowing Samsung to get away with this consistently - other than last year's victory.
You realize that Samsung doesn't only make phones, right? And that their phones are only a percentage of their business. Furthermore, Samsung has been accused of copying the software/UX/OS, not the hardware, AFAIK.
So I seriously doubt they would've been "toast."
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Old Mar 10, 2014, 08:34 AM   #13
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So iPhone 6 in June?

PLEASE PLEASE PLEASE
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Old Mar 10, 2014, 08:37 AM   #14
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So iPhone 6 in June?

PLEASE PLEASE PLEASE
Nope! Mid September as usual.
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Old Mar 10, 2014, 08:41 AM   #15
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Location: Canada, eh?
Quote:
Originally Posted by Freida View Post
It seems that these days all the rumors we get are contradicting each other
Quote:
Originally Posted by DipDog3 View Post
Also known as, just making stuff up.
Obviously none of these so called reporters have any idea what is going on.
How to be an analyst:

1. Post a rumor.
2. Wait for hits. If it sounds reasonable, discussion will be positive. If not, discussion will be angry.
3. Wait a week.
4. Post an "update" saying your sources now confirm that the previous rumor was false.
5. Wait for hits and discussion.
6. Profit!
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Old Mar 10, 2014, 08:44 AM   #16
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I think looking at the evidence the truth is clear to see. Samsung have had issues and are scrambling to refute them and increase their production rates. Hence the reason TSMC are already producing the chips. This yield issue is most likely due to higher priority being given to Samsung's increasing hardware requirements.

Yes Apple is an important customer who they earn money off but it is also the competition and if they are having to decide who takes priority then it is in their interest they choose themselves. Though if this strain is to do with the Gear they would be better off dropping it as the profit of that has to be tiny when compared to being a massive manufacturer for other companies key components.

All the surplus Apple has its insane to think they aren't producing their own chips by now.
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Old Mar 10, 2014, 08:52 AM   #17
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i don't think one create an semiconductor equation without including Samsung factor in it
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Old Mar 10, 2014, 09:02 AM   #18
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Samsung's fab and production abilities are top notch, plus I think a crucial switch like this requires a long transition period.
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Old Mar 10, 2014, 09:06 AM   #19
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Quote:
Originally Posted by triton100 View Post
Phew that was lucky, Samsung would've been toast if they were truly sidelined by their unwitting mentor. Who would they copy [cough], I mean draw inspiration from if they had been?

It's a full time job copying the competition and rerouting your R & D budget into marketing, to ram your products down consumers throats. Genius business tactic - cheaper to copy and pay for patent infringement in court than to spend on original R & D.

Samsung are the equivalent of those dodgy market places in south east asia where you can buy cheap knock offs of anything from Armani suits to televisions. When are the courts going to stop this? I guess there is a political and economic motivation behind allowing Samsung to get away with this consistently - other than last year's victory.

Please enlighten me how you can tell what a device is going to look like and how the OS will operate from just knowing or producing a chip that goes inside it.
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Old Mar 10, 2014, 09:13 AM   #20
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hey I know those Lil Debbie brownies are made with flour, I'm totally going to be able to reproduce them now
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Old Mar 10, 2014, 09:15 AM   #21
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From a consumer perspective it really doesn't matter as long as it works
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Old Mar 10, 2014, 09:15 AM   #22
samcraig
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hey I know those Lil Debbie brownies are made with flour, I'm totally going to be able to reproduce them now
Exactly my point...
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Old Mar 10, 2014, 09:23 AM   #23
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Originally Posted by triton100 View Post
Phew that was lucky, Samsung would've been toast if they were truly sidelined by their unwitting mentor. Who would they copy [cough], I mean draw inspiration from if they had been?

It's a full time job copying the competition and rerouting your R & D budget into marketing, to ram your products down consumers throats. Genius business tactic - cheaper to copy and pay for patent infringement in court than to spend on original R & D.

Samsung are the equivalent of those dodgy market places in south east asia where you can buy cheap knock offs of anything from Armani suits to televisions. When are the courts going to stop this? I guess there is a political and economic motivation behind allowing Samsung to get away with this consistently - other than last year's victory.
Congrats! This is an excellent example of spontaneously combustible material. Flame on.
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Old Mar 10, 2014, 09:28 AM   #24
Freida
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so, if the rumours about A8 production starting soon are true, do you think that it is actually possible that iPhone will get launched sooner than september? You know, getting back to the original june/july schedule?
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Old Mar 10, 2014, 09:30 AM   #25
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You can't have Apple...without Samsung
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