Apple reportedly in discussion with GlobalFoundries to supplement chip production

By on November 12, 2013, 5:30 PM
apple, samsung, globalfoundries, cpu, mobile processor, a7, chip making

Rumors of Apple’s intentions to lessen their dependence on Samsung for chip making are heating up once again. Sources familiar with the matter recently told the Albany Times Union that Cupertino is looking to hire GlobalFoundries to create chips for the iPad and iPhone.

At present, Samsung is largely responsible for making the majority of the chips found in Apple’s fleet of mobile devices including the new A7 that powers the iPhone 5s, iPad Air and second generation iPad mini. But patent disputes in recent years have created tension between the two companies that is difficult at best to ignore.

If the rumor pans out, future chips would be produced at GlobalFoundries’ Fab 8 facility in Malta, New York. A deal with another manufacturer doesn’t mean that Apple would ditch Samsung completely. Given the heavy demand for Apple mobile products, Apple could certainly use both companies to produce chips for the iPhone 6 and beyond. In fact, Samsung would likely be tasked with helping GlobalFoundries get their manufacturing processes set up.

This isn’t the first time we’ve heard rumors of Apple and GlobalFoundries in bed together and according to at least one publication, you probably shouldn’t read much into it. All Things D did some checking around with their industry sources and have come to the conclusion that the deal most likely will be a flex deal where Samsung will be able to offload some production to GlobalFoundries when their own factory is dealing with higher than usual order volume.

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