A fresh report from Taiwanese tech newspaper DigiTimes says that Apple
According to IHS iSuppli, the current A5 chip found in the iPad 2 costs Apple about $14 apiece, and the last-generation A4 adds about $11 per iPhone 4 or iPad 1. There are licensing fees to ARM Holdings
Considering that Apple sold 20 million iPhones and 9 million iPads last quarter, this adds up to at least a couple hundred million dollars of easy sales for Taiwan Semi. It's a welcome boost for a company that reported sales of $3.7 billion USD last quarter -- perhaps reaching into double-digit territory if the terms of this supposed Apple deal are right. Conversely, Samsung's chip sales office must be a gloomy place on a day like this.
Not that anybody should be shocked by this move. As if to highlight the deep rift between these increasingly rivaling tech giants, Samsung filed motions today to ban sales of the upcoming iPhone 5 in South Korea. The duo is butting heads in American, German, and Australian courts, just to name a few cases. An eternal partnership looks less likely every day.
Mind you, Taiwan Semi is far from the only game in town. Former Advanced Micro Devices
Using a special glue developed by unlikely high-tech hero 3M
But you know who else is part of that alliance? Yep -- Samsung. So it's off to Taiwan we go. I'm sure that Intel
Taiwan Semiconductor just might be the next Intel. Click here to see a video report with another candidate for that elevated title, which could double or even triple your investment.Fool contributor Anders Bylund holds no position in any of the companies discussed here. The Motley Fool owns shares of IBM and Apple. The Fool owns shares of and has bought calls on Intel. Motley Fool newsletter services have recommended buying shares of Intel, 3M, and Apple; creating a diagonal call position in Intel; and creating a bull call spread position in Apple. Try any of our Foolish newsletter services free for 30 days. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. You can check out Anders' holdings and a concise bio, follow him on Twitter or Google+, or peruse our Foolish disclosure policy.