During the past several years, Apple has relied on rival Samsung for everything from memory chips to displays for its devices. But, as the competition between the two has heated up, Apple has been slowly moving away from Samsung as a supplier.
According to The Wall Street Journal, Apple made yet another move this week as it received the first shipment of microprocessors from Taiwan Semiconductor . Some analysts were skeptical that the company could deliver the high-end chips Apple orders, but this latest news proves otherwise.
This not only moves some microprocessor business away from Samsung, but puts Apple in a better position to negotiate prices for its processor manufacturing in the future. Meanwhile, Apple's business could account for as much as 10% of Taiwan Semiconductor's revenue this year -- a percentage that could increase as Apple bumps up orders.
In this video, tech analyst Chris Neiger talks about the benefits for both Apple and Taiwan Semiconductor as the two move forward.
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The article Apple Inc. Just Delivered Another Blow to Samsung originally appeared on Fool.com.Chris Neiger has no position in any stocks mentioned. The Motley Fool recommends Apple. The Motley Fool owns shares of 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. The Motley Fool has a disclosure policy.
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