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Apple Looks Ready to Drop Samsung's Chips

The following video is from Friday's installment of The Motley Fool's Weekly Tech Review, in which host Chris Hill and analysts Eric Bleeker and Jason Moser take a look at the biggest stories driving the tech sector this week.

In this segment, Eric looks at Apple's (NASDAQ: AAPL  ) current contentious relationship with Samsung, and the possibility that Apple could be moving to a different chipmaker. Reports that Apple is moving to Taiwan Semiconductor  (NYSE: TSM  ) have been simmering all week and on Friday night took on additional credibility, when The Wall Street Journal reported that the two companies had signed a deal for Taiwan Semi to manufacture Apple's chips. 

Yet changing chip manufacturers is tough. As Eric explains, the next generation is so complex that only a handful of companies -- four, to be exact -- have the resources and technology to manufacture Apple's next chip lineup. That's left Apple with limited options. In the following video, Eric explains the difficulties of changing chip suppliers and Apple's overall attempts for supply-chain diversification. 

The full video is available here.

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The relevant video segment can be found between 7:22 and 10:02.

Read/Post Comments (3) | Recommend This Article (7)

Comments from our Foolish Readers

Help us keep this a respectfully Foolish area! This is a place for our readers to discuss, debate, and learn more about the Foolish investing topic you read about above. Help us keep it clean and safe. If you believe a comment is abusive or otherwise violates our Fool's Rules, please report it via the Report this Comment Report this Comment icon found on every comment.

  • Report this Comment On June 29, 2013, at 3:21 PM, ScottAtlanta wrote:

    Apple make Samsung stronger.

    Now Samsung bigger than Apple. Ha Ha!

  • Report this Comment On June 30, 2013, at 12:43 AM, deasystems wrote:

    No, Samsung about same size as Apple, but Apple not make washing machine and wind turbine.

  • Report this Comment On July 01, 2013, at 10:26 PM, ScottAtlanta wrote:

    Child labor not strong enuf to make washing machines and turbines....but their little fingers good for iphones and ipads.

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