Apple Hopes To Drop Samsung As Chip Supplier
danomac writes "Apple is testing out new chip suppliers, trying to find a supplier other than Samsung. Apple is currently suing Android phone manufacturers, and Samsung is included in the lawsuit. 'Apple faces several hurdles should it want to make a switch to TSMC, including patents and chip design issues as well as a push by Samsung to retain the business. ... Analysts and other sources had previously said TSMC, the world's largest contract chip maker, was set to become a supplier of a next-generation processor chip to Apple, likely starting next year. However the chip may not be called the A6, as some reports have indicated, the sources said. TSMC is an obvious candidate to win processor business from Apple as it has budgeted $7.8 billion this year to update technology and add capacity. It also has experience with the architecture of British chip designer ARM Holdings Plc, widely used by Apple to make power-efficient mobile chips."
The next iPad will be powered by an Arduino!
"Consumers hope to drop Apple as computer supplier"
Good luck with that, Apple. I know that if there's one thing I look for in a potential customer, it's a tendency not only to file bogus patents (what was that last one, changing to landscape mode based on orientation but with a phone!111!!!!?) but to ruthlessly sue suppliers over them. (Oh no, you have a product with ROUNDED CORNERS, prepare for the Nazgul!)
Of course, I know I'm being naive. They'll find some company that's more than happy to accept their money, even with the continual threat of being sued to prevent them from using their own technology in the future.
But I can hope that karma comes back to bite them in the ass. I can only hope.
They are either punishing Samsung (the common dramatic spin I see put on the story) or maybe they are expecting to need A LOT of A6 chips. Maybe the rumors of putting them in Macs are true?
Unless they can get Globalfoundries off the ground at 28nm or better, they won't be able to produce enough product to make any sales, with Nvidia and Apple hogging all the fabs' attention. Enjoy your $800 entry level GPUs and your $1000 midrange CPUs.
Samsung has shown not only the desire to compete directly with them, but steal all they can from them. This is one of the biggest risks of outsourcing, and a valid reason to pull all contracts as fast as they can.
Is this really so surprising? Apple creates end products to sell to consumers and buys parts from Samsung. Samsung creates chips (as well as other parts) to sell to companies but also sells competing end products to consumers. TSMC only creates and sells chips to companies, but nothing to end consumers. And now that TSMC's foundries have been updated, it's kind of a no-brainer isn't it?
"The only normal people are the ones you don't know very well."
File this under the "not well thought out beforehand" category.
The problem with letting morals interfere with business decisions is knowing where to stop. Now that they've made it plain how little tolerance they have for independent thinking suppliers, the rest are going to be a bit skittish, either in their dealings with Apple, or in their own R&D. Either way, Apple is sending the message that it doesn't want first tier brilliant thinkers, only second tier yes-men.
I have a friend who lets his religious fundamentalism go crazy. I sent some Thomas the Tank Engine chocolate lollipops for Christmas stocking stuffers, and was told that Thomas is a Disney property, Disney supports health insurance for domestic partners, and therefore my stocking stuffers were unwelcome.
So what next? Don't let UPS deliver anything because the driver might be gay, or support human rights? Where does he draw the line? It's one thing (however silly it is) to not buy Disney products himself because they have gay employees, but to chew me out for not following his politics is absurd.
Infuriate left and right
in corporate america it's called "negotiating"
Where else are you going to purchase radiation hardened chips?
The mind conceives, the body achieves, the spirit manifests.
I still don't see why adding a new chip supplier has to mean dropping the old one.
Maybe Apple just want's to make sure it can still build new devices even if one supplier has problems.
Maybe they need additional suppliers to meet the increasing demand (yes, there is increasing demand for iOS devices).
Maybe they hope to gain something by having competing suppliers. Lower prices and/or better products. Faster, more efficient chips etc.
After all, Apple is a company and is doing business to make money; not to win a troll award.