Business Korea reports that some industry insiders believe that due to TSMC’s tight production, Apple may need to reignite its relationship with Samsung for producing its chips. The report says that Apple initially gave the production of the M1 chip to TSMC, but that TSMC is having a hard time keeping up with the demand that Apple wants.
“Apple’s M1 chip order volume accounts for about 25 percent of TSMC’s 5-nm production capacity, but TSMC is already using most of its 5-nm production capacity to produce chips for Apple’s iPhone 12,” said a researcher at NH Investment & Securities. “Most of the order volume that TSMC cannot meet is expected to go to Samsung Electronics’ foundry division.”
TSMC and Samsung Electronics are the only two companies capable of producing chips with the 5nm process, giving Samsung a chance to renter Apple’s supply chain in 2015 Apple completely stopped giving Samsung orders for chip production and began relying fully on China based TSMC.
This week Apple announced its M1 chip as the first Apple Silicon designed specifically for the Mac. Apple says the chip is the fastest it ever made, and early Geekbench test results prove that to be true. Apple rolled out the new chip in an updated 13-inch MacBook Air, MacBook Pro, and Mac mini. Check out our full coverage of the event here.