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macrumors bot
Original poster
Apr 12, 2001
54,477
16,537



Samsung will provide Apple with A9 chips for its next-generation iPhone and other devices, reports Bloomberg, confirming a previous report in early February. Over the past couple of months there had been confusion and conflicting reports as to whether Samsung, Apple's longtime supplier and rival, or Taiwan Semiconductor Manufacturing Company (TSMC) would produce the chips.

Samsung_Logo.png

Samsung will start making Apple A9 processor chips at its Giheung plant in South Korea, the people said, asking not to be identified because the contract hasn't been discussed publicly. Additional orders will go to Samsung's partner Globalfoundries Inc., according to another person familiar with the arrangement.
In 2013, Apple signed a chip production deal with TSMC in hopes of diversifying its supply chain resources and reducing its reliance on Samsung amid the two companies' ongoing legal disputes.

It appears that Samsung's investment in manufacturing technologies won Apple over, with TSMC Chairman Morris Chang recently telling investors that the company would lose ground to Samsung in producing the most advanced chip technology possible in 2015, though he also noted the company would regain that advantage in 2016.

Samsung is reportedly producing the chips with its advanced 14-nanometer process, which has outpaced TSMC's capabilities and results in smaller chips that consume less energy and provide more processing power. The Korean company is also said to be providing memory chips for Apple's next-generation devices.

Thus far, little is known about what the next-generation iPhones or iPads could include other than new A9 chips, but new reports indicate Apple could be bringing its new Force Touch technology to the devices. Other rumors also suggest the A9 may make its way into the "iPad Pro", which may debut in late 2015. It's likely the 2015 versions of the iPad Air and iPad mini will be outfitted with versions of the A9 as well.

Article Link: Samsung Confirmed to Produce A9 Chips for Apple's Next-Generation Devices
 

xARx2

macrumors member
Nov 2, 2014
49
11
With the funds Apple has, why don't they build a plant for in-house manufacturing of chips?
 

2457282

Suspended
Dec 6, 2012
3,327
3,014
the A9 chip may surprise with 128bit compared with the 64 bit A8. and still all apps are 32bit and the iPhone still only has 1meg ram. perfect/s
 
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xlost6

macrumors 6502
Feb 28, 2011
487
102
With the funds Apple has, why don't they build a plant for in-house manufacturing of chips?

Why fix something that's not broken? Samsung does a fine job producing chips for Apple products.
 

RockSpider

macrumors 6502a
Sep 18, 2014
903
396
That's an awful waste of energy to hate things that have no effect on our lives.
It's not me, it's usually the people on here, especially when they hear TMC or whatever is going to build their beloved chips.
 

IGregory

macrumors 6502a
Aug 5, 2012
669
5
With the funds Apple has, why don't they build a plant for in-house manufacturing of chips?

Costs! Why build manufacturing capacity with all the related costs that comes with it. Its much cheaper to contract out the work than Apple doing it itself - elementary economics.
 

RockSpider

macrumors 6502a
Sep 18, 2014
903
396
And I thought you hated anything to do with Apple.
No not everything, just the idea that they are beyond reproach and that they have invented everything and make everything better than everyone else. Apart from those things I do actually own Apple products.
 

imaginex20

macrumors 65816
Jun 17, 2009
1,427
449
Next week we're going to get a report from an analyst confirming TMSC will produce the A9 SOC...
 
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JeffyTheQuik

macrumors 68020
Aug 27, 2014
2,468
2,404
Charleston, SC and Everett, WA
Fairchild has been resurrected to build the A10...

Fairchild-A-10-Title.jpg


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Costs! Why build manufacturing capacity with all the related costs that comes with it. Its much cheaper to contract out the work than Apple doing it itself - elementary economics.

Plus, for the scale that they're building, there is a huge cost in having people that build the chips design them as well. It's the Intel-AMD conundrum: Your competitors will help you build features that they design by spending resources coming up with great ideas that you can implement better.

Plus, there is a great impact when you say to your supplier:
"Hey! We want our chips to run faster and cheaper than you're doing now, and if you don't, we'll buy them from your competitor," which is much more difficult if you own the fab.
 

szw-mapple fan

macrumors 68020
Jul 28, 2012
2,386
2,428
With the funds Apple has, why don't they build a plant for in-house manufacturing of chips?

Because it's much cheaper for Samsung and the other chipmakers to compete on a lower price than for Apple to produce the chips itself.
 

mabhatter

macrumors 6502a
Jan 3, 2009
942
289
With the funds Apple has, why don't they build a plant for in-house manufacturing of chips?

Because making chips is HARD. You put a billion dollars up front and hope your engineers get it right or you get squat. There's no prize for making a 16 nm chip now, that's last year's model.

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I'm getting confused, I thought we hated anything to do with Samsung.

Samsung can't seem to get a leash on their marketing dogs. They never had any business Apple-bashing because Samsung is playing both sides... You buy a Galaxy, they win... You buy an iPhone they still win a little less cause most of the important parts they make. If they'd have kept their mouths shut they'd be a lot richer and Apple wouldn't keep trying to cut them out.
 

RockSpider

macrumors 6502a
Sep 18, 2014
903
396
Because making chips is HARD. You put a billion dollars up front and hope your engineers get it right or you get squat. There's no prize for making a 16 nm chip now, that's last year's model.

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Samsung can't seem to get a leash on their marketing dogs. They never had any business Apple-bashing because Samsung is playing both sides... You buy a Galaxy, they win... You buy an iPhone they still win a little less cause most of the important parts they make. If they'd have kept their mouths shut they'd be a lot richer and Apple wouldn't keep trying to cut them out.
I'm no fan of Samsung but I think they know they have Apple over a barrel, don't forget it was Apple that started the war with Samsung.
 
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