Apple Reportedly Signs Deal with Samsung for 14-nm A9 Chips Starting in 2015

Discussion in 'MacRumors.com News Discussion' started by MacRumors, Jul 14, 2013.

  1. macrumors bot

    MacRumors

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    The Korea Economic Daily reports that Apple and Samsung today officially signed an agreement that will see the two companies working together on future A-series chips for Apple's iOS devices, with the deal specifically covering A9 chips based on a 14-nanometer process node starting in 2015. The claim comes just weeks after Taiwan Semiconductor Manufacturing (TSMC) confirmed a deal with Apple to begin producing A-series chips in 2014.
    A previous report about Apple's agreement with TSMC had indicated that it was a three-year deal covering not only Apple's future A8 chip but also A9/A9X chips. The Wall Street Journal's report had indicated that Samsung would remain Apple's primary supplier through next year as TSMC began ramping up its production.

    As a result, it is unclear whether today's deal will see both TSMC and Samsung producing A9 chips for Apple or if Apple has already shifted gears to return to Samsung as its primary supplier as part of its long-term roadmap.

    Apple has reportedly been seeking to reduce its reliance on Samsung as a component supplier as the two companies have become fierce rivals in both the mobile marketplace and in the courtroom. The two companies have, however, continued working together in several areas, particularly where Samsung's competitors in the component market are unable to match its technology, production capacity, or pricing.

    The shift to TSMC for production of the high-profile main chips for Apple's iOS devices had been viewed as breaking one of the most significant remaining ties between Apple and Samsung, but it appears that Samsung has been able to bring Apple back into the fold by leading the charge to 14-nm chips. With partnerships with both Samsung and TSMC, it appears that Apple should be well-positioned to take advantage of whichever company takes the lead in developing the latest technologies.

    Late last week, it was reported that Apple had bought into a fab, perhaps with an eventual goal of producing its own chips for its mobile devices, although any such move is almost certainly years away given the need to ramp up expertise and facilities for such production.

    Article Link: Apple Reportedly Signs Deal with Samsung for 14-nm A9 Chips Starting in 2015
     
  2. macrumors 6502a

    Joined:
    Jun 23, 2007
    #2
    "Keep your friends close, but your enemies closer" I guess...
     
  3. macrumors 603

    Joined:
    Nov 25, 2009
    #3
    Wow

    It appears that Apple will be using TSMC, Samsung and Global Foundries (the latter - according to CNET) to produce chips. Something is messed up here. Perhaps Apple is just pretending to negotiate with all semi foundries (and this list pretty much includes all foundries in the World, there are some smaller one out there but those are out of the question anyways) trying to improve their negotiating position.
     
  4. macrumors 68000

    alksion

    Joined:
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    Location:
    Los Angeles County
    #4
    This is smart. They know TSMC is no where near ready for the amount of chips Apple requires.

    Keep using Sammy until TSMC is full grown. Sounds good to me.
     
  5. macrumors 6502

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    Sep 12, 2009
    Location:
    Beaumont, CA
    #5
    Samsung is evil.
     
  6. macrumors member

    Joined:
    Nov 12, 2012
    #6
    Keep on signing the new deals and kick them out when there is a sound option! There is no need to showoff or speculate unless you are ready!!!
     
  7. HobeSoundDarryl, Jul 14, 2013
    Last edited: Jul 14, 2013

    macrumors 601

    HobeSoundDarryl

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    #7
    I speculate that TSMC just can't do it as well as Samsung. Apple tried and TSMC disappoints. So Apple goes back to the company that can do what they need.

    It's not that hard to imagine an event where Samsung is showing working prototypes at 14nm and TSMC is having trouble with the next generation's stuff (and is not even really close to dealing with 14). Maybe the rumor of Apple buying a FAB is related to such a disappointment and Apple doing a "if you want something done right..."?

    NO particular love here for Samsung but they are quite good at what they do (existing Apple stuff built with Samsung hardware works very well). TSMC? Every time I hear about Apple & TSMC, I wonder if the TSMC generation of Apple hardware will have beta- or alpha-testing experiences on huge scales. Hopefully not, but I'd personally rather have Samsung hardware underpinning new Apple gear than "plan B". If the latter, I hope they positively surprise vs. my own expectations.
     
  8. macrumors 6502a

    Joined:
    May 22, 2009
    #8
    Probably because with the low cost iPhone they are going to be pushing more volume.


    TMSC for the cheaper iphone
    Sammy for the Premium



    Now which one will sell more, that is the question.
     
  9. macrumors 6502

    Joined:
    Jan 3, 2012
    #9
    No mention of A7. Are they skipping it?
     
  10. macrumors 6502

    HangmanSwingset

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    Feb 28, 2011
    Location:
    Everett, WA
    #10
    Apple probably guesses 2015 is the year people realize Samsung's phones suck, and this will be their way of keeping them afloat as they sit there and watch Sammy suffer.
     
  11. macrumors 65816

    dagamer34

    Joined:
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    Location:
    Houston, TX
    #11
    Companies are not people. Stop assigning them feelings as if they have temperaments like one.
     
  12. macrumors 603

    Technarchy

    Joined:
    May 21, 2012
    #12
    Apple has way too much interest and dealings with chip manufacturers lately. Something's amiss. It Seems like they are loading up on capacity. But for what? What is it they think will drive demand to such an extent that they need all these firms cranking out chips.
     
  13. macrumors regular

    Joined:
    Jun 18, 2010
    #13
    no... more "Business.... Always Business"

    The contracts are tighter now, the competition with TMSC is there now... Samsung needs high volume customers.... Apple needs sub 15nm etching.

    It's 20 months away... 3 generations of chips away (new generation this fall, another new generation next year... it's over the horizon for everyone but those that don't buy state of the art... but those who _DEFINE_ state of the art.)

    If true, it's just a realization that Intel won't etch someone else's chips at their level, TMSC is not getting up to speed for the next generation.... and Samsung's VP of Fab came crying to Apple and said... "HELP me make my bonus!!!!"
     
  14. macrumors 65816

    sw1tcher

    Joined:
    Jan 6, 2004
    #14
    If this story is true about Apple signing a new deal with Samsung, then I'd say Apple needs Samsung more than Samsung needs Apple.

    My guess is Apple realized TSMC couldn't meet Apple's demands/needs/requirements for the A chips and realized they better have Samsung pick up the slack.
     
  15. macrumors regular

    Joined:
    Jun 18, 2010
    #15
    My simple assessment is that you'll start to need a hex+ core SoC (4 CPUs 2 GPUs) to power a fully voice controlled iPad with Retina (local heuristics). If you need that kind of compute power, at 14 hours battery life... you too will have a lot of interest in chip manufacturing... as they are the limiting factor for what you can do.

    iOS, Android, and Win8 are now competing for the fastest response time possible.
     
  16. macrumors 6502a

    lolkthxbai

    Joined:
    May 7, 2011
    #16
    Whoa, either Apple was looking for a better deal with Samsung or Apple wants to have TSMC manufacture the low-end chips and have Samsung handle it's next gen. chips.
     
  17. macrumors 6502

    Christian 5G

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    Orange County
    #17
    I wonder what chip is going to be in 2030
     
  18. macrumors newbie

    Joined:
    Jan 6, 2010
    #18
    What in the delusional fanboy hell did I just read? LOL!!! Dude at the end of the day Apple made a business decision in their best interest and it just so happened to be with Samsung. That's it and that's that. Gosh these explanations are so entertaining.

    ----------

    Apple and Samsung are successful companies that have somewhat of a symbiotic relationship. Yes they are competitors and marketing will tout their respective products as superior to their counterparts...but at the end of the day you better believe there is a level of respect between the two...fanboys/girls are just too emotionally invested to realize this.
     
  19. Guest

    Joined:
    Dec 7, 2010
    #19
    So are the A4, A5, and A6 chips in your iOS devices.

    THEY'RE ALL EVIL!!!!

    lol
     
  20. macrumors 68020

    iapplelove

    Joined:
    Nov 22, 2011
    Location:
    East Coast USA
    #20
    Apple caved . But I would have too it was the right choice for right now.
     
  21. macrumors 68040

    tech4all

    Joined:
    Jun 13, 2004
    Location:
    NorCal
    #21
    Well then you better go put on your Apple cape and go fight the evil galactic empire!

    What are you waiting for go!!!!!!!!!! Apple's under attack!!!!!!!!!!!

    YouTube: video
     
  22. macrumors 65816

    DisMyMac

    Joined:
    Sep 30, 2009
    #22
    That's possible, but I think they are secretly working together and pretend to fight for appearances.
     
  23. macrumors 68020

    iapplelove

    Joined:
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    Location:
    East Coast USA
    #23
    They are definitely not working together . This is just business that's it.
     
  24. macrumors 68030

    macs4nw

    #24
    A sensible strategy. Business is business. Leave emotions out of it, and procure the best possible components.
     
  25. macrumors 65816

    inscrewtable

    Joined:
    Oct 9, 2010
    Location:
    Australia
    #25
    As long as Apple produces the best product it matters not one whit who they use. And the Apple fan should be happy that Apple as a company does not have a fragile ego. What's the point of going thermonuclear if it results in Mutual Assured Destruction
     

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