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TSMC secures A6, A7 SoC contracts, Apple divorces Samsung?

Posted: , by Victor H.

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TSMC secures A6, A7 SoC contracts, Apple divorces Samsung?
We’ve already heard talk about Apple divorcing Samsung as its chip producer for Taiwan Semiconductor Manufacturing Company (TSMC), but now Taiwanese daily DigiTimes adds more fuel to the fire saying that Cupertino has signed a foundry partnership with TSMC. The new foundry is expected to be responsible for making not only the A6 chip expected to land on the Apple iPhone 6, but also the next-gen A7 chip. TSMC will produce the chips using 28nm and 20nm technology.

While the rumor about Samsung getting ditched has persisted, there was wide disbelief that Apple would kick off orders with TSMC before 2012. The Korean phone maker single-handedly helped Apple develop and roll out the A4 and A5 chips. On the other hand, though, TSMC seems to have pushed the deal further with test production of the A6 chip reportedly already going on at its factories. The agreement is reportedly favorable for the Taiwanese manufacturer and won’t bring its 46% gross margin.

Landind the A6 SoC comes with its share of responsibilities and technical requirements including 3D stacking technology. Actually, it’s that exact 3D build that might have forced TSMC to go through another trial run as the design of the chip has changed.

Apple has reportedly not talked backend manufacturing with TSMC and might need to split things like packaging and testing between various company with likely candidates including Siliconware Precision Industries (SPIL) and Amkor Technology.


Image courtesy of BENM.AT.

53 Comments
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posted on 16 Sep 2011, 05:54 4

1. andro. (unregistered)


This is simples,Apple are falling behind in the market to android and samsung,so if they can't beat or control them they try to sue them,the childish sueing has been unsuccessful so now they will try to source components else where. TSMC will be under ball and chain from here on and knee bowing to apple will follow

posted on 16 Sep 2011, 07:45 2

4. Life (unregistered)


As Apple goes down the dominance of the western world will go down. East Asian companies and their markets will be the largest in the world. South Korean companies like Samsung, LG etc., will make their own operating systems soon and will also overtake this market. Other top companies from Taiwan -TSMC, HTC, Chine -ZTE, Huawei , Japan - sony etc. will see a rise as Western companies like Nokia go down. Well all of this depend on the products they launch, the market conditions and most importantly; peoples' response.

posted on 16 Sep 2011, 12:03

17. bucky (Posts: 1506; Member since: 30 Sep 2009)


its just business.

posted on 17 Sep 2011, 05:28

48. Life (unregistered)


Not just business, standard of living, country's economy will change accordingly. RIM has also reported a drop in earnings. Western world is going down.

posted on 16 Sep 2011, 06:21 8

2. som (Posts: 768; Member since: 10 Nov 2009)


Rotten Apple go to hell.

posted on 16 Sep 2011, 06:42 9

3. remixfa (Posts: 13942; Member since: 19 Dec 2008)


good, i was tired of samsung letting them use some of their best technology while they were being sued for stupidity and fear at the same time.

posted on 16 Sep 2011, 08:11 2

5. ivanko34 (Posts: 617; Member since: 04 Sep 2011)


But apple has no amoled display...

posted on 16 Sep 2011, 15:22

36. Wazzan (banned) (Posts: 34; Member since: 15 Sep 2011)


BECAUSE THEY SUCK

posted on 16 Sep 2011, 16:04

41. Wazzan (banned) (Posts: 34; Member since: 15 Sep 2011)


hard2

posted on 16 Sep 2011, 08:20 4

6. Kjayhawk (Posts: 290; Member since: 07 Oct 2010)


Would it kill apple to hire an american manufacturer?

People like Taco wonder why people hate apple. The truth is Apple is a profit only company and does whatever it takes to make a profit not caring about peoples rights. Paying people 50 dollars a month to make your ipods. I'm not saying people who purchase these products are bad people, many don't know. at least Some companies like Samsung create parts here in the United States a Korean company might I add.


http://www.washingtonpost.com/wp-dyn/content/article/2006/06/15/AR2006061501898.html

posted on 16 Sep 2011, 08:30 2

7. tech-head (Posts: 132; Member since: 02 Sep 2011)


Exactly...

posted on 16 Sep 2011, 10:33 4

8. remixfa (Posts: 13942; Member since: 19 Dec 2008)


talk about a ramen diet.. oi.

apple, maker of shiney things on the backs and lives of deserate people.

posted on 16 Sep 2011, 11:30 3

10. taz89 (Posts: 2014; Member since: 03 May 2011)


Apple will do whatever makes them the most money...why do you think they have such huge cash reserves? Because they hardly spend...just look at all the small iterations between the iphones...doubt much r&d happened and the ipad is a big iPod touch so again hardly any r&d...thats 3 supposed different products but are really the same devices with one being bigger and one without radio's etc

posted on 16 Sep 2011, 11:31 1

11. gallitoking (Posts: 4690; Member since: 17 May 2011)


there in business to make a profit like any other sucessfully company... educate yourself please... and tell me the parts Samsung creates in the States..

posted on 18 Sep 2011, 23:21

53. Doodi (unregistered)


Hey..Samsung Electronics has 2 wafer processing fabs in Austin Texas.!!

posted on 16 Sep 2011, 11:32 2

12. darth8ball (Posts: 519; Member since: 02 Aug 2011)


taco will no doubt argue that Android makers use the same type of labor to produce their products.

But notice that Apple doesn't pass the 'slave labor' prices on to the consumer. In the words of taco and his group of isheep you have to be rich to afford the iPhone so this is the rich screwing over the poor. Nice job fanboys

posted on 16 Sep 2011, 11:41 2

14. taco50 (banned) (Posts: 5506; Member since: 08 Oct 2009)


So fandroids how do android manufacturers make phones? Don't they use the same types of factories. If you don't like it that's fine, but be consistent. Bash Apple, HTC, Samsung etc. Have you ever looked on the back of pretty much any product? It's all made in China, Mexico etc.

Losers haters. Can't wait to see the wounded cries when the iPhone 5 comes out and smashes the competition.

posted on 16 Sep 2011, 11:56 3

15. darth8ball (Posts: 519; Member since: 02 Aug 2011)


If they are all made in the same factories using the same slave labor, when the investigations are done why don't you read about Samsung, HTC, RIM, LG, and others, we are only reading about Apple, they are either the only ones doing it or the only ones stupid enough to get caught.

posted on 16 Sep 2011, 12:02 2

16. taco50 (banned) (Posts: 5506; Member since: 08 Oct 2009)


Because everything Apple is news. Steve Jobs can fart and it will make the news. Answer the question. How does Samsung make phones? If your answer is I don't know then you're a hypocrite.

posted on 16 Sep 2011, 12:33 2

21. darth8ball (Posts: 519; Member since: 02 Aug 2011)


well let's see a state of the art plant in India for one.

BTW look up the definition of hypocrite before you use a word know what it means. Not knowing the answer would make me uninformed not a hypocrite. Complaining about labor violations while "KNOWINGLY" buying products I know to be made by those in violation of these labor laws would make me a hypocrite.

posted on 16 Sep 2011, 12:44

22. taco50 (banned) (Posts: 5506; Member since: 08 Oct 2009)


Lmao a state of the art factory in India. Hahahaa do you really believe yourself. India has the same sweatshops as China.

posted on 16 Sep 2011, 12:49

24. taco50 (banned) (Posts: 5506; Member since: 08 Oct 2009)


Simple google search:

"The six cases recently mounted against Samsung are nothing new. Activist groups have been complaining about the conditions in Samsung's 14 Seoul sites for some time."



http://uk.ibtimes.com/articles/186265/20110725/samsung-galaxy-s2-lawsuit-sued-cancer-unsafe-factory-conditions-south-korea-smartphone-tablet.htm

posted on 16 Sep 2011, 12:50

25. taco50 (banned) (Posts: 5506; Member since: 08 Oct 2009)


Do you fandroids hate Samsung now for how they treat their workers?

posted on 18 Sep 2011, 23:18

52. Doodi (unregistered)


Taco 50, manufacturing costs will be exorbitant if factories are locatied in cities..Samsung has its HQ in Seoul but all manufacturing points are in suburbs

posted on 16 Sep 2011, 13:05 2

27. remixfa (Posts: 13942; Member since: 19 Dec 2008)


taco, if samsung had jumpers nets around factories and exploding factories, we would definately hear about it.

last i checked, this is a phone news site, not an apple news site.

posted on 16 Sep 2011, 17:16

42. taco50 (banned) (Posts: 5506; Member since: 08 Oct 2009)


I just posed an article right above your comment that you're choosing to ignore.

posted on 16 Sep 2011, 12:05

18. gallitoking (Posts: 4690; Member since: 17 May 2011)


darth8ball... let me anwser this simple question,..... nobody cares... about Android... today was the launch of the SGII on Sprint.. and guess what... business as ususal.. wait for the iphone 5 launch... and see the difference..

posted on 16 Sep 2011, 12:47

23. darth8ball (Posts: 519; Member since: 02 Aug 2011)


Now let me say this....have you ever seen the movie Goodfellas....

Low Profile, is the key if you are going to do something wrong.

Apple should have a Practices and Standards division dedicated to overseeing things like component and device building. Crews at the plants BECAUSE of how high profile and popular they are. Their lack of that supervision and their money hungry at all cost attitudes is what makes them vulnerable

posted on 16 Sep 2011, 15:23

37. Wazzan (banned) (Posts: 34; Member since: 15 Sep 2011)


BECAUSE THEY ARE A BUNCH OF GREEDY PANZYS

posted on 16 Sep 2011, 11:12 3

9. InspectorGadget80 (Posts: 6588; Member since: 26 Mar 2011)


APPLE THE MOST HATED COMPANY IN THE WORLD

posted on 16 Sep 2011, 11:34

13. gallitoking (Posts: 4690; Member since: 17 May 2011)


wow heavy on personal opinion..hmmmm

posted on 16 Sep 2011, 15:24

38. Wazzan (banned) (Posts: 34; Member since: 15 Sep 2011)


AGREE MY BROTHER. THE WAZZANY MAN FEELS YOU. ITS JUST BECAUSE THEY SUCK SO MUCH YOU KNOW. THEY GOING BANKRUPT ONCE ALL THE ISHEEP DIE OFF FROM EVOLUTION. SURVIAL OF THE FITEST YTOUR IPHONES WILL KILL YOU BY MAKING YOU STUPID AND UNABLE TO PERFOR DAILY ACTIVITES.

posted on 16 Sep 2011, 12:24 1

19. Gidan (unregistered)


They should release, the SGS3, Iphone 5 and the Nokia Windows phone on the same day! Then we'll see who crush who :) (my money is with SGS3 though! dunno abt you guys.)

posted on 16 Sep 2011, 12:30

20. taco50 (banned) (Posts: 5506; Member since: 08 Oct 2009)


I'm confused SGS III? Didn't SGS II just launch in the US today?

posted on 16 Sep 2011, 15:25 1

39. Wazzan (banned) (Posts: 34; Member since: 15 Sep 2011)


APPLE GOING BANKRUPT ANYWAY.

posted on 16 Sep 2011, 12:50 1

26. anirudhshirsat97 (Posts: 397; Member since: 24 May 2011)


Do apple really think they'll get better cpu's from them rather than samsung??
You have got to be joking...

posted on 16 Sep 2011, 13:11 2

28. darth8ball (Posts: 519; Member since: 02 Aug 2011)


It is not a move about 'better' processors it is a move to punish Samsung. And Apple doesn't care too much about getting better cpu's because their products will sell no matter what

posted on 16 Sep 2011, 13:14

29. WakaFlakaD (Posts: 367; Member since: 30 Apr 2011)


And iOS is sufficient to run on a single core

posted on 16 Sep 2011, 13:18

30. gallitoking (Posts: 4690; Member since: 17 May 2011)


Apple can sell popsicles to the esquimos... not everyone can do that... Samsung lost their number one client so now they will saturate the market to make up some of that money....wait.. they alredy did....

posted on 16 Sep 2011, 13:27 1

31. darth8ball (Posts: 519; Member since: 02 Aug 2011)


That is the point, if you can SELL anything to anyone why worry about providing a top of the line, cutting edge (high cost to build) product when a cheaper to make, product can garner a high price tag and still sell.

Back in the 80s they sold kits to make your Pontiac Fiero look like a Ferrrari. but your still drivin a Pontiac, but if the chicks don't know the difference.......Now you understand Apple

posted on 16 Sep 2011, 13:31

32. gallitoking (Posts: 4690; Member since: 17 May 2011)


they do worry thats why they take their time to released the iphone.. or tell me where does it say that they rush products out like Android... so the T-Bolt and the Xoom were top of the line products... both were rushed.... Apple doesnt roll like that .... just becuase some one else is first doesnt mean that everyone will follow... Apple march to their own beat on that... after years and you still dont know.. this...

posted on 16 Sep 2011, 13:43

33. darth8ball (Posts: 519; Member since: 02 Aug 2011)


we are not talking speed of release, but capabilities.
You have to realize that Apple has made a ton of money using the simple to use marketing approach, SIMPLE. While some people may like a universal remote to work the TV, Blu-Ray, 5.1 surround, and stereo, I prefer the increased functionality of a remote for each of my devices, CONTROL.
Now I know your intellilgent enough to understand my point and I also know your not going to either admit I'm right or agree with my point so let's agree to disagree....OK....Allrighty then

posted on 16 Sep 2011, 14:01

34. gallitoking (Posts: 4690; Member since: 17 May 2011)


I was intelligent to understand your point.. very valid points btw... increased functionality. of each remote... good... but can you understand me.... simple.. why would I want to used 3+ remotes when 1 does gets the job done... because if you want increased functionality why used the a samrth phone when u can used your PC or laptop... why simplicity.... and I know you wont agree with me so we will leave it at that...

posted on 16 Sep 2011, 18:08

44. MAS10X (Posts: 38; Member since: 26 Jul 2011)


The reason they take their time to release products is not so much cause they want to make them the best quality possible. They take their time to release products because people are hung up with the last generation of the iphone. Then the longer they take to release, they bigger they hype of the product and then when it is release the hype overcompesates for the lack of actual innovation on it. And that is from a business tactical point of view, no Fanboyism.

posted on 16 Sep 2011, 19:44

47. gallitoking (Posts: 4690; Member since: 17 May 2011)


google for me.. 2011 most innovated companies... and tell me the result...

http://www.fastcompany.com/most-innovative-companies/2011/

in case your android phone force closes...

1 Apple
For dominating the business landscape, in 101 ways

Forget Apple's ascension to the most valuable tech business. Forget the iPhone 4's drama-defying success. If all Apple had going for it were the iPad, it would still be atop our list. Most impressive of all, though, is how Apple's platforms........ could show you more.. but i dont want to feed spoon the answer right?

posted on 16 Sep 2011, 17:17

43. taco50 (banned) (Posts: 5506; Member since: 08 Oct 2009)


I like how remix, darthball and other fandroids didn't bother to respond to the article on Samsung factory workers working conditions.

posted on 16 Sep 2011, 18:33

46. Kjayhawk (Posts: 290; Member since: 07 Oct 2010)


I got it I got it... god I hate having to do this I'm pretty tired. No doubt the 60 people that were diagnosed with cancer is awful.... But apple houses people inside there factory and make people work for 50 dollars a month. Samsung plants are open all around the world sadly they have had to close a couple in Germany, but they opened one in the United States to help produce screens for phones, Remember how I don't know if it was the iPhone or maybe HTC phones or something, Samsung could't create enough screens to keep up with demand so they opened a factory in the US.

Samsung at least pays there employees, in Korea there is a minimum decent minimum nothing spectacular but still it exists.

Also there has been no proof of the people diagnosed with cancer to have gotten it in the factories. According to CNN a bit more reliable of a source:
http://articles.cnn.com/2011-07-14/world/south.korea.samsung.study_1_samsung-workers-health-agency-leukemia?_s=PM:WORLD

Samsung for the most part takes pretty good care of there employees, that is compared to apple...

For HTC Phones i don't know much about them and prefer not to research them sorry.


Now the smart argument would have been:

The clothes on your back are most likely made in freaking Mexico or whatever where conditions are 100000 billion times worse, than apples.

See that would have been an argument I couldn't win. You targeted Samsung a company who for the most part doesn't suffer from any poor manufacture problems... But chances are they have some s**tty factory somewhere that we just don't know about.

posted on 16 Sep 2011, 18:15

45. Lwazi_N (Posts: 205; Member since: 23 Jun 2011)


I wonder what would happen if Samsung (or even Google) bought TSMC... Lol!!!!

posted on 17 Sep 2011, 12:47

49. ahmadickhard (unregistered)


I forsee freezing iPhone 5 will be a popular happening in the near future. LOL

posted on 18 Sep 2011, 21:47

51. Doodiii (unregistered)


dear Gallitoking, Samsung Electronics has 2 wafer processing fabs in Austin Texas...

posted on 23 Sep 2011, 12:01

54. Ven (unregistered)


See, you guys are keep on blaming Apple,Apple products are famous not for the specs but for their inavative nature.They teach the world how mobile os should look like.I 200% sure if samsung had invented capacitive & multitouch concept before apple. it would not been that much success without os similar to ios. Yes I accept Apple has screwed samsung but this business you have check your competitor and now with Galaxy samsung has became a main rival to iphone. how you guys except a company to allow their rival(samsung) to manufacture one of their(Apple) component..

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