Over the last few years, Apple has been reportedly trying to reduce its reliance on Samsung for chips used in iPhones and iPads, but the company will still rely on the South Korean technology giant for a vast majority of the chipsets for its upcoming iPhone 6S, Maeil Business Newspaper reports. Also Read - Apple iPhone 6s survives drop from 2,000 feet high airplane: Watch video
The report further claims that Samsung will provide as much as 75 percent of the chips for the iPhone 6S. The company will produce the chips in its factory in Texas. It isn’t clear who will provide the remaining chipsets. Also Read - Ahead of Apple iPhone SE India launch, iPhone 6s prices increased by Rs 3,000 on e-commerce sites
Apple’s iPhone 6 and iPhone 6 Plus smartphones are powered by A8 chipset, while the iPad Air 2 comes with A8X processor. According to the report, Samsung will be providing Apple with A9 processor for the next-generation iPhone, which is expected to be announced in September later this year. Also Read - Apple iPhone 6s, iPhone 6s Plus face competition from older iPhone models in China
iPhones alone generate up to about 60 percent of Apple’s revenue. The Cupertino-based company has been trying to reduce its reliance on third-party companies, especially its stark rival Samsung, for iPhone and iPad components.
Apple’s contract with Samsung for the chips expired in 2014, and it was reported that the North Korean company was preparing to hike its chip prices by 20 percent ahead of the A9 chip production.
The other interesting bit which is still up for speculation is, who will produce the remaining 25 percent of the chips? Over the last couple of years, the company has also relied on Taiwan based chip-manufacturer TSMC.
Apple has also been working hard on making its own processors. Bob Mansfield, Apple hardware chief after taking retirement was brought back by Tim Cook, and is now working on the firm’s in-house semiconductor and chip-making efforts. In 2012, the company also hired former Samsung and AMD veteran Jim Mergard to work on the internal chip-building division which reports to Mansfield.