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More Claims That Samsung is Being Cut Out of Apple’s A7 Production

More Claims That Samsung is Being Cut Out of Apple’s A7 Production

A new report says that Samsung has indeed been cut out of Apple’s plans for its next-generation A7 system-on-a-chip which is expected to power the Cupertino firm’s upcoming iOS devices. Apple is reported to be moving forward with its plans to shift ptoduction to Taiwan Semiconductor Manufacturing Company (TSMC).

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The Korea Times, via MacRumors:

“Apple is sharing confidential data for its next A7 system-on-chip (SoC) with the Taiwan Semiconductor Manufacturing Company (TSMC). TSMC has begun ordering its contractors to supply equipment to produce Apple’s next processors using a finer 20-nanometer level processing technology,” said an executive at one of Samsung’s local partners in Korea by telephone, Wednesday.

Samsung is reported to be pinning its hopes on its own handsets to fill the gap left by Apple. The firm has made huge investments in its processor fabrication facilities, but fears that it may have to shut down some of that capacity. Samsung is also looking to make up for some of the loss by producing graphics chips for NVIDIA.

Reports from the Taiwanese media last week indicated Apple and TSMC were working on a 20-nm A7 design for early next year. We reported last month that while Apple and TSMC had taped out a design for the chip, much more work remains before it is ready to enter production.

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