Apple reportedly won't have to pay for defective 3nm chips in special deal with TSMC
Reports say Apple will save billions of dollars from this "sweetheart deal."
(Image source: TSMC)
A report say Apple has a unusual "sweetheart deal" in place with TSMC in that it would only have to pay for "known good dies."
In other words, TSMC will absorb the cost of defective dies. This would reportedly save Apple billions of dollars since the failure rate of any new manufacturing process can be as high as 30%.
The report further claims that this deal is unique to Apple because of what Apple's COO Jeff Williams claims to be an "intense" relationship with Apple.
And before you think of it as a one-sided deal, it was Apple's initial investment in the new manufacturing process and willingness to be the first customer that paved the way for this new 3nm process to be viable in the first place.
Apple is widely expected to unveil its new A17 Bionic chip next month when it announces its new iPhone. The chip is rumoured to be built on a 3nm process, which should improve both performance and efficiency.
Source: The Information
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