Apple is exploring new chip manufacturing options as it looks to reduce its reliance on TSMC, which currently produces the majority of its processors. The iPhone maker has initiated preliminary discussions with Intel and Samsung regarding the potential production of chips for future iPhones and Macs in the US, reports Bloomberg. While no deals have been signed and discussions are still at an initial stage, it clearly shows the tech titan’s effort to diversify its supply chain and explore manufacturing options beyond its long-time partner.
For more than a decade, Apple has depended almost entirely on TSMC to manufacture its custom-designed chips, including the A-series processors used in iPhones and the M-series chips powering Macs, iPads, and other devices. This partnership has been central to Apple’s performance advantage, as TSMC leads the global semiconductor industry in advanced process nodes like 3nm and is moving rapidly toward 2nm technology. However, this deep reliance also creates a concentration risk, as most of TSMC’s cutting-edge fabrication facilities are located in Taiwan, a region that faces geopolitical tensions and potential supply disruptions.
Apple reaching out to Intel and Samsung Electronics shows that it wants a more reliable and flexible supply chain. Intel, once the dominant chipmaker for PCs, is now aggressively expanding its contract manufacturing business through its foundry division. The company has committed tens of billions of dollars to new fabrication plants in the United States and Europe, aiming to compete directly with TSMC in advanced chip production. And winning Apple as a client would be a major validation of Intel’s turnaround strategy and could significantly boost its credibility in the global foundry market.
On the other hand, Samsung is already one of the few companies capable of manufacturing advanced logic chips at scale. It has long been a competitor to TSMC in the foundry space and is investing heavily (~ $73 billion in 2026 alone) in next-generation technologies, including 2nm process nodes and advanced packaging. The South Korean giant is also expanding its manufacturing footprint in the United States, with large-scale investments in Texas aimed at attracting major clients. Importantly, Apple has previously worked with Samsung for certain components, but a deeper manufacturing partnership for core processors would mark a notable shift in their relationship.
Apple’s move is mainly driven by supply chain risks, as global chip shortages and rising demand from AI and electronics make relying on a single supplier like TSMC risky. At the same time, it is exploring alternatives as the United States is pushing domestic chip manufacturing through policy support and financial incentives.
However, despite all such advantages, shifting even part of its production away from TSMC will not be easy for Apple. TSMC’s technological edge in areas like yield rates, power efficiency, and manufacturing consistency remains unmatched. Apple’s chips are highly optimized for its ecosystem, and any new manufacturing partner would need to meet extremely strict standards.
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Ashutosh is a Senior Writer at The Tech Portal, largely reporting on new tech, and intersection of technology and business. Ashutosh’s career spans across nearly a decade of technology writing across multiple platforms and languages.
