New reports suggest that Intel could join the ranks as one of Apple’s main manufacturers of the processor thats used in the iPad, iPod touch and iPhone devices.
Apple currently designs their own processors but they have to rely on companies like Samsung to actually build them. But now this all could change, especially with the rumors that Intel is planning on teaming up with the Cupertino based company.
Based on a number of inputs, we believe Intel is also vying for Apple’s foundry business,” said Gus Richard, an analyst with Piper Jaffray & Co., in a new report.
”It makes strategic sense for both companies. The combination of Apple’s growing demand and market share in smart phones and tablets gives Intel a position in these markets and drives the logic volume Intel needs to stay ahead in manufacturing,” Richard said.
”Intel’s manufacturing lead gives Apple an additional competitive advantage in these markets and distances it from Asian competitors that are knocking off its products,” he said. ”Furthermore, it would also serve to weaken Samsung who is a significant competitive threat to both companies.”
According to the report, Samsung will keep the position as Apple’s main foundry for the time being, but because Samsung is seen as a competitor, Apple will likely be pushing for a switch very soon. It doesn’t hurt the cause that Apple and Samsung are battling in lawsuits over various patents.