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Tag: Intel

  • TSMC and Intel team up to run chip factories

    TSMC and Intel team up to run chip factories

    On April 3, 2025, exciting news broke about a possible partnership between Intel and TSMC, a key supplier for Apple. According to The Information, the two companies have made a basic deal to work together and manage Intel’s chip-making plants. TSMC would own 20% of this new joint company, while Intel and other U.S. chip businesses would hold the bigger share.

    As part of this plan, TSMC might share its know-how on building chips and even train Intel’s workers to use these methods. Talks are still going on, so the final setup isn’t set yet. Reports say the Trump administration pushed for this deal to help Intel recover and boost high-tech chip production in the U.S.

    Intel and TSMC have been rivals for a long time. Intel once powered Apple’s Macs, but since 2020, Apple switched to its own chips, made by TSMC. TSMC focuses only on making chips, not designing them, which has helped it zoom past Intel. Intel’s chip-making side has struggled—its chips cost more, and it produces less than TSMC. Some Intel leaders worry this deal could mean job cuts, as they might need to sell off old equipment or let go of engineers.

    Last year, Intel lost $18.8 billion, hit hard by a weak PC market and big spending on its factories. This partnership could be a lifeline, blending TSMC’s skills with Intel’s setup. While details are still fuzzy, it’s a big step that could shake up the chip world and affect companies like Apple, which rely on TSMC’s top-notch manufacturing. This move shows how the U.S. is working to strengthen its tech edge, and it’ll be interesting to see how it all plays out!

  • Apple tried Intel for iPhone chips, but Tim Cook wasn’t impressed, says TSMC Founder

    Apple tried Intel for iPhone chips, but Tim Cook wasn’t impressed, says TSMC Founder

    TSMC, a big partner for Apple, makes chips for millions of their devices each year. But, according to their founder, there was a time when Intel tried to make chips for the iPhone but didn’t do well enough to impress Apple’s CEO, Tim Cook.

    TSMC Founder Wasn’t Worried About Intel Competition for iPhone Chips

    In a recent conversation on the Acquired podcast, Morris Chang, the founder of TSMC, talked about the history of working with Apple. One key point was back in February 2011 when Intel was considered for producing iPhone chips.

    At that time, Intel already made chips for Apple’s Macs. However, their attempt at iPhone chip production didn’t go as planned. Chang mentions a talk with Jeff Williams, who said, “We need to take a break from our talks for a couple of months because Intel’s top people have approached Tim Cook to discuss making chips for the iPhone.”

    Chang wasn’t too concerned because, in 2011, Intel didn’t have the same strong reputation it once did:

    “Jeff was talking about the iPhone,” Chang said. “I wasn’t too worried because Intel wasn’t the big deal anymore. I had to agree to Jeff’s request, but I wasn’t really concerned.”
    Later, Cook met with Chang over lunch at Apple’s headquarters, where he reassured Chang by saying, “There’s nothing to worry about,” explaining that Intel didn’t have the right know-how to be a chip foundry. Chang found this response brief but reassuring.

    Chang also shared insights on Intel’s customer relations:

    “Before Apple became our customer, I knew many of Intel’s customers in Taiwan, like all the PC makers. None of them were fans of Intel. Intel often acted like they were the only game in town.”
    He added that these customers “all wished there was another supplier.”

    You can view the complete interview for more insights into the tech industry’s past.