Will Apple Dump Samsung?
Rumors of Apple (NASDAQ:AAPL) moving its processor supplies away from Samsung have been rumbling, considering the bitter rivalry the two companies have come to share, but according to one analyst, the divorce process will not be an easy one for the iPhone maker. According to RBC Capital’s Amit Daryanani, there are only three realistic chip supplier alternatives for Apple, but the process itself will be long and complicated.
What Are Apple’s Alternatives to Samsung?
“Shifting chip manufacturers isn’t easy and requires a complete redo of production and manufacturing process,” Daryanani wrote in a note to investors on Friday, according to Apple Insider. “Hence, these changes will take 12-18 months at minimum and won’t be commercially sold ‘til 2014.”
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Apple could possibly turn to Intel (NASDAQ:INTC), Taiwan Semiconductor Manufacturing Company (NYSE:TSM), or GlobalFoundries, the analyst said. While Intel has previously expressed interest in building custom processors for Apple and is ahead of rival ARM (NASDAQ:ARMH) in terms of development, the iOS platform is already heavily invested in ARM. TSM has been rumored to be preparing to build chips for Apple as early as next year, but the Taiwan company would need capital expenditures of between $1 billion and $3 billion. Global Foundries, which is already working with ARM to build 20-nanometer chips, could be another, though less likely, option…