Apple and Intel Have Discussed Deal for Mobile Chip Production

Posted March 7, 2013 at 8:52pm by iClarified | Please help us and submit a translation by clicking here | 5468 views

Apple and Intel have reportedly discussed the possibility of Intel manufacturing mobile chips for iOS devices, reports Reuters.

Manufacturing chips on behalf of other companies is a major departure for Intel, which for decades has based its business on using its manufacturing prowess to offer its own PC chips superior to rival products. As PC sales contract and Intel's fabrication plants operate at less than full capacity, the chipmaker sees an opportunity to fill idle production lines while earning new revenue.

A source tells the site that the two companies discussed the issue in the past year but no agreement has been reached.

"If you can have a strategic relationship where you're making chips for one of the largest mobile players, you should definitely consider that. And for Apple, that gets them a big advantage." remarked Pat Becker Jr, of Becker Capital Management.

Intel has yet to find enough demand to fill future fabrication plants so taking on contract manufacturing will help fill new production lines and help pay for them. For Apple, it would reduce their reliance on arch-rival Samsung.

Read More


Share
Add Comment
Follow iClarified
T-Mobile to Hold Uncarrier 7 Event on September 10
T-Mobile will be holding its Uncarrier 7 even...
Snapchat Updates 'Our Story' Feature to Cover More Live Events
Snapchat has released an update to their iPho...
Alleged iPhone 6 Logic Board Reveals New Category 4 LTE Modem [Photo]
An iPhone 6 logic board complete with chips w...
16GB of Flash Storage Spotted on Alleged iPhone 6 Logic Board
A 16GB flash storage module has been spotted ...
Bioshock First Person Shooter Game Released for iOS
Bioshock, a popular first person shooter game...