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Apple Buys Israeli Flash Manufacturer
Lucas123 writes "According to published reports Apple is plunking down up to $500 million to purchase solid-state drive start-up Anobit Technologies. Even Israeli Prime Minister Benjamin Netanyahu tweeted about the deal congratulating Apple on its first acquisition in his country. Apple is planning to use the acquisition to set up to set up a semiconductor development center in Israel. Apple already uses NAND flash from Anobit in its iPhone, iPad and MacBook Air products, according to the reports."
Someone set up us the semicondutor development centre.
First they just opened a new factory in Texas, now in Israel, both out of China (in case you did not read the fine print), so, is this the new trend now? No more "cheap" chips? Or maybe they are becoming too expensive? Or maybe Apple knows something that we don't? Like, China is friend no more.....
Coupled with their ARM CPU developments, I think Apple is attempting to remove their dependency on component makers such as Samsung (or at least gain some IP to use as leverage). I wouldn't be surprised if Apple starts some Flash-related patent wars in a few more years.
Seems likely to me that Apple has had enough of crappy SSD controllers causing problems on its notebooks (especially the Air) and wants to finally get it done right. It could also be a competitive advantage to be the company with the best drive controllers.
I read the internet for the articles.
China doesn't tend to make things like chips. Those are almost all made somewhere else. China is more of a "final assembly" kind of space. You send them over the parts, they build the final product for cheap.
They design, they don't fab. Just like PA Semi which Apple bought earlier. Apple designs products and product components but then outsources their manufacture. They aren't interested (so far) in owning fabrication plants. They can be more agile if they can switch manufacturers as their requirements change.
Very often, people confuse simple with simplistic. The nuance is lost on most. - Clement Mok
As a typical open source advocated, I am shaking my fist in anger at how successful Apple is with its proprietary technology. Why are people giving that company money when they could be using a Linux machine and playing Tux Racer instead of stupid Angry Birds??? What makes me more mad is that I've been practicing being irate at Microsoft for so long that when Apple suddenly rushed to success overnight, it's made me angry that I did nothing with my life during the 2000s except comb my exquisite neckbeard and ponytail. Doesn't Apple know that it could make more money by giving away its software and hardware for free and then charge for services? SO ANGRY RIGHT NOW AT OTHER PEOPLE'S SUCCESS. GRRRR! Everyone on Slashdot is with me, right? All together now: GRRRR!
At least they bought an Israeli Flash company and not Adobe, amirite?
(Thank you, I'm here all week.)
Good move on Apple's part- buy the developer and retain the patents for anything new and novel coming out of there, but continue to outsource the fabrication. It's everything that was good about vertical integration, minus the bad (costs of retooling, slow response times). Couple this with locked in deals with manufacturers and Apple is setting itself up for an even stronger market domination. Say what you want about them (evil, controlling, walled-garden, doo-doo heads), they're not stupid over there. And keep in mind, the company is now run by the guy who was in charge of the supply chain. We're gonna be hearing alot more stories like this in the near future. Love them or hate them, Apple is running their business very very right.
Yes, but then Apple will have to start building new fab plants as the tech becomes obsolete. There's a reason why most companies, like Apple, buy all their tech from elsewhere. It costs a bloody fortune to cycle plant tech, and the reason why we have so few players. It cost billions to build the buggers.
Well, Apple has the billions to spend, and this way, they can take the technology in the direction they want to go, instead of having to go the way the SS industry decides to go. Fabulous decision, IMHO.
Dear Mr. Coward, Where do you get this information? As an Israeli, who has served in the army, who votes in democratic elections and is able to criticize his government freely, who shares his cubicle at work with an Israeli Arab, who also enjoys civil rights and liberties and votes for his representatives, and as a Jew who carries the stain of history on his family's story, please tell me where is this ethnic cleansing you speak of? There is nothing I would rather wish for than the end of the occupation of the west bank, especially as a reserve soldier, but if it was so simple it would have been over a long time ago. There is no such thing as an evil nation, that's just racist. We are people. When I get called for duty, I spend most my time riding in a jeep in which the commander is a lawyer, the driver is a youth council, the medic is a magician, and I'm an electronic engineer. This isn't an ego bunch, and know for a fact that there isn't an army in the world that shows as much restraint as we do. And back to the topic, from a tech company perspective, its smart to set up a development center in Israel. It worked for Intel, IBM, TI, Google, Microsoft, HP and the list goes on.