Apple reportedly chose TSMC to manufacture chips for the iPhone 7
The Electronic Times reports that the Taiwan Semiconductor Manufacturing Company (TSMC) secured a deal with Apple to build the chips for use in the iPhone 7.
Image source: TSMC
While the current A9 chipset in the iPhone 6s/6s Plus is manufactured by TSMC and Samsung, Apple has reportedly signed a deal with only one supplier to manufacture the next generation chipset for the iPhone 7.
According to the Electronic Times, TSMC has secured a deal with Apple to be the only supplier of the processor used in the iPhone 7. Samsung apparently lost out in the race to get 10nm chips to the market with TSMC expected to go into full production in July.
If true, Samsung's semiconductor business may take a hit this year although its partnership with Qualcomm to make the Snapdragon 820 chipsets can offset some of the loss. In addition, Samsung is said to be making CPU and GPU chips for AMD this year.
TSMC is also planning ahead; it aims to commence 7nm volume production by 2018 and 5nm production by 2020. This will put TSMC in a competitive edge against its rivals when negotiating future deals with Apple.
Source: The Electronic Times via 9to5Mac
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