View all newsletters
Receive our newsletter - data, insights and analysis delivered to you
  1. Leadership
  2. Strategy
November 30, 2017

Is Apple about to turn chip maker?

If the reported Apple initiative goes ahead, what impact might it have on competitors? What impact might this have on the power chip makers?

By Tom Ball

It has been reported that Apple is preparing to begin manufacturing its own power chips for devices in 2018, a play that would shake up the industry and erase the company’s dependence on external chip makers.

The Japanese financial newspaper, The Nikkei, has reported this revelation, but so far neither Apple nor the manufacturer of its power chips, Dialog Semiconductor, has commented on the information from the report.

Citing industry sources, the report said that Apple is pursuing this avenue so as to become more competitive, enhancing its ability to work with semiconductors.

Is Apple about to turn chip maker?According to The Nikkei, a source said: “Based on Apple’s current plan, they are set to replace partially, or around half of its power management chips to go into iPhones by itself starting next year.”

Another motivation linked to Apple’s alleged interest in producing its own chips is artificial intelligence, a top tech trend of 2017, and a growing space in which there is bound to be increasing and formidable competition.

All eyes are currently on chip makers, with the IoT market set to explode, for example, and as mentioned, projects working with cutting edge technologies will also be reliant on chip technology. In line with this, Microsoft is working on building a new chip geared specifically towards AI.

Microsoft, SAP integrate in digital transformation drive


Content from our partners
Scan and deliver
GenAI cybersecurity: "A super-human analyst, with a brain the size of a planet."
Cloud, AI, and cyber security – highlights from DTX Manchester
IBM reportedly set to slash UK jobs in cost cutting drive


HPE makes the clouds align with OneSphere


This news will make concerning reading for power chip makers across the world, because if it turns out to be true, Apple competitors may look to harness the same in-house capabilities, shutting out the manufacturers.

Others have recognised the value and importance of chip making, with the Toshiba chip unit proving highly desirable to a number of bidders. Bain Capital finally succeeded, and has shared a plan to list the unit on the Tokyo Stock Exchange in around three years’ time.

Topics in this article : , , ,
Websites in our network
Select and enter your corporate email address Tech Monitor's research, insight and analysis examines the frontiers of digital transformation to help tech leaders navigate the future. Our Changelog newsletter delivers our best work to your inbox every week.
  • CIO
  • CTO
  • CISO
  • CSO
  • CFO
  • CDO
  • CEO
  • Architect Founder
  • MD
  • Director
  • Manager
  • Other
Visit our privacy policy for more information about our services, how Progressive Media Investments may use, process and share your personal data, including information on your rights in respect of your personal data and how you can unsubscribe from future marketing communications. Our services are intended for corporate subscribers and you warrant that the email address submitted is your corporate email address.