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Samsung said to have secured a deal to supply chipsets for the iPhone next year

By Cookie Monster - on 19 Jul 2017, 12:00am

Samsung said to have secured a deal to supply chipsets for the iPhone next year

While TSMC won the exclusive deal to supply A11 chipsets for the iPhone models this year, it might have to share Apple's orders of the chipsets for next year's iPhone with Samsung. 

The Investor claims that one of the three co-CEOs of Samsung's chip and component businesses visited Apple's headquarters last month and managed to clinch the crucial deal. The deal would see Samsung sharing some of the orders next year alongside TSMC. 

“The CEO could persuade Apple’s top brass taking advantage of their close ties on OLED,” said an industry source.

It is believed that Samsung used its position as the biggest OLED panel and chip maker to offer concessions for Apple to seal the deal. In addition, the South Korean company has specifically purchased extreme ultra-violet lithography machines to produce the 7nm chipsets for Apple. Testing for the new machines will be completed soon and will be submitted to Apple for approval.

There is currently a race between TSMC and Samsung in the chipset sector. Qualcomm reportedly dropped Samsung in favor of TSMC to work on its 7nm Snapdragon platform as TSMC received expedited access to 7nm technology from ARM and is on track for full volume production in early 2018. Samsung hopes to get back in the game by focusing on 6nm chips in 2019, which will give it a strategic edge over TSMC's 7nm technology. 

Source: The Investor

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