Samsung will provide Apple with A9 chips for its next-generation iPhone and other devices, reports Bloomberg, confirming a previous report in early February. Over the past couple of months there had been confusion and conflicting reports as to whether Samsung, Apple's longtime supplier and rival, or Taiwan Semiconductor Manufacturing Company (TSMC) would produce the chips.
Samsung will start making Apple A9 processor chips at its Giheung plant in South Korea, the people said, asking not to be identified because the contract hasn’t been discussed publicly. Additional orders will go to Samsung’s partner Globalfoundries Inc., according to another person familiar with the arrangement.
In 2013, Apple signed a chip production deal with TSMC in hopes of diversifying its supply chain resources and reducing its reliance on Samsung amid the two companies' ongoing legal disputes.
It appears that Samsung's investment in manufacturing technologies won Apple over, with TSMC Chairman Morris Chang recently telling investors that the company would lose ground to Samsung in producing the most advanced chip technology possible in 2015, though he also noted the company would regain that advantage in 2016.
Samsung is reportedly producing the chips with its advanced 14-nanometer process, which has outpaced TSMC's capabilities and results in smaller chips that consume less energy and provide more processing power. The Korean company is also said to be providing memory chips for Apple's next-generation devices.
Thus far, little is known about what the next-generation iPhones or iPads could include other than new A9 chips, but new reports indicate Apple could be bringing its new Force Touch technology to the devices. Other rumors also suggest the A9 may make its way into the "iPad Pro", which may debut in late 2015. It's likely the 2015 versions of the iPad Air and iPad mini will be outfitted with versions of the A9 as well.