Apple may tap Intel to make M-series chips starting 2027
What's the story
Apple is reportedly considering a partnership with Intel to produce its M-series chips, starting in 2027. The tech giant currently relies solely on Taiwan Semiconductor Manufacturing Company (TSMC) for the production of these advanced silicon chips. Analyst Ming-Chi Kuo has suggested that this potential collaboration could diversify Apple's supply chain and bolster US-based manufacturing efforts.
Production details
Intel to produce Apple's entry-level M-series chips
The proposed partnership would see Intel producing Apple's entry-level M-series chips, likely for future MacBooks and iPads. Kuo said the chipmaker could start manufacturing these processors using its 18AP advanced node technology in Q2 or Q3 of 2027. The deal would reportedly cover production volumes of between 15 million and 20 million units.
Strategic shift
Apple and Intel's renewed partnership
This would be a major strategic shift for both companies. Unlike their previous relationship where Intel designed x86-based processors for Macs, this time around, the chipmaker would only manufacture Apple-designed ARM-based chips. TSMC will continue to produce most of Apple's chips including high-end models and iPhone processors.
Manufacturing boost
Partnership could support US-based manufacturing
The potential partnership with Intel could also support US-based manufacturing by adding more American companies to Apple's supply chain. Bloomberg reported in September that Intel had approached Apple about an investment as part of its turnaround efforts. This comes after the US government acquired approximately 10% of Intel, positioning the chipmaker as critical to domestic semiconductor production.
Supply diversification
Apple's strategy to diversify supply chain
While TSMC remains Apple's main chip supplier, the potential partnership with Intel would address supply chain management requirements. Kuo said this strategic move would give Apple a backup plan for its entry-level processors. The company has already signed an NDA with Intel and received preliminary design specifications, with key development milestones tracking as expected.