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Taiwan Semiconductor Manufacturing Company (TSMC) has been associating with Apple for sometime now and the plans to switch over chip production to the Taiwan-based company have materialized. Earlier, Samsung was supplying majority of the chips to Apple devices. According to the reports from The China Times, TSMC is set to begin production of the chip in the first quarter of 2013.
TSMC will be producing 28nm A6X chips instead of the existing 32nm A6X, which was produced by Samsung for the fourth generation iPads. The smaller version of 32nm A6X will feature in iPad 5 and iPad mini 2. The products may be unveiled by the middle of 2013.
The Taiwan-based company's capabilities are still unproved and there are doubts whether the company can supply Apple with sufficient chips to meet the iPad and iPhone demands. There were also issues with the licensing of A5 and A5X processors which were under Samsung IP and this delayed Apple's switching over to TSMC.
TSMC is going to pose a serious challenge to Samsung if it proves itself capable. This could enhance the chances of its candidature to manufacture next- gen A7 chipset. Apple A7 chipset may go for initial production by the later part of 2013 as per the reports.
There are also rumors about Apple considering ARM-based processors for its new iOS devices. "Project Azalea" suggests the collaboration of Apple with non- Samsung suppliers which emerged last year. The probable beneficiary could be TSMC as it may get a long term deal to produce ARM-based processors for Apple if it proves itself.