Apple taps Samsung to develop next iPhone chip

BLOOMSDAY: Samsung will make the main chip to the next iPhone.

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BLOOMSDAY: Samsung will make the main chip to the next iPhone.

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, according to another person familiar with the arrangement.

Winning this order from Apple will help the world’s second-largest chipmaker rebound against TSMC, which last year ended Samsung’s monopoly over contracts to make iPhone and iPad chips. Both manufacturers have boosted capital expenditures to gain business from Apple and Qualcomm Inc. in the more than $300 billion semiconductor industry.

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