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Samsung Reportedly to Play a Minor Role in Apple's iPhone 9 Processor Business in 2018

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On June 8 Patently Apple posted a report titled "Samsung's Vice Chairman has a Scheduled Meeting with Apple Executives this Week." Samsung Electronics Vice Chairman Kwon Oh-hyun is one of the company's three co-CEOs who leads the company's chip and parts business unit. Earlier in June Samsung Electronics had turned its foundry business arm into an independent business unit. Global clients can now entrust production to Samsung with greater ease when foundry and fabless are separated from each other. Our report noted that "Kwon could be making a new pitch for Apple's processor business." Well, that appears to have happened.


A Korean report this morning is a shocker stating that "Samsung Electronics will produce chips again for Apple's new iPhone next year -- a crucial deal coming after the Korean tech giant lost iPhone orders to its Taiwanese foundry rival TSMC in 2013. "


The report further noted that "Samsung recently purchased extreme ultra violet lithography machines, the most advanced chip manufacturing equipment, to produce seven-nanometer mobile processors solely for iPhone.


TSMC succeeded in winning a supply deal for next year's iPhone by adopting the more energy efficient seven-nanometer technology earlier than rivals. Now Samsung would share some parts of the iPhone orders next year that have been monopolized by TSMC.


Samsung plans to complete its own tests for the new chip-making machines soon and seek final approval from Apple for the chip production."


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