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For the first time ever, Samsung isn't Apple's only mobile SOC supplier

Going back to the first iPhone, Samsung has been the only producer of SoCs for Apple mobile devices -- until now. As expected, TSMC has now started shipped SoCs for Apple's use.
July 10, 2014
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Back in June we reported on a claim that Samsung and Apple were once again in peace talks, though this time they were said to actually be coming close to reaching a ceasefire. The main reason for keeping the peace reportedly centered around Apple’s interest in Samsung as a continued partner for processors, displays and other components.

While it’s unclear whether the rumored peace talks will go anywhere this time around, it’s pretty obvious that Apple isn’t sitting still and is more than willing to consider other avenues outside of Samsung for its components. Case and point, Taiwan Semiconductor Manufacturing Co. (TSMC) has now begun shipping processors that will be used in Apple’s latest smartphones and tablets.

This marks the first time since the debut of the iPhone that Apple has used any other manufacturer for the production of its mobile chips

Although the deal was actually reached back in 2013, several analysts were originally uncertain whether TSMC would have what it takes to successfully deliver on the contract. Apparently TSMC is more than willing and ready, and the two companies reportedly will work together on more advanced chips next year.

Keep in mind that Samsung will continue to produce chips for Apple as well, but it shows that Apple is looking to further diversify its suppliers. This also marks the first time since the debut of the iPhone that Apple has used any other manufacturer for the production of its mobile chips. In addition to relying on other sources for its processors, Apple has made similar moves over the last year when it comes to display and memory as well.

At one point, Samsung was the only company involved in supplying these components, but now it is just one of three of Apple’s top display producers and both Toshiba and SK Hynix supply RAM chips in addition to the Korean giant. So why move away from Samsung? For one thing, having multiple suppliers puts Apple in a position to negotiate better prices with its partners and means it doesn’t have to rely too strongly on one company. For another, tension has been growing between Apple and Samsung since the first Apple-led lawsuit in 2011, and with continuing fighting, the situation will likely only get worse.

What do you think, should Apple and Samsung further push away from one another or are they better off burying the hatchet when it comes to their legal battles so they work more closely once again?