Apple to design own microchips for iPhone, iPod touch
Apple to design own microchips for iPhones, iPod touch: Apple Inc. is building a significant capability to design its own microchips for the iPhones and iPod touch, a strategy shift that the company hopes will create exclusive features for its gadgets and shield Apple’s work from rivals.
Last year, Apple bought chipmaker P.A. Semi, a small chip company that specializes in low-power processors, or computer “brains.” Now Forbes reports that Apple is boosting its chipmaking know-how even more, by hiring leading designers from IBM and Nintendo.
The iPhone now uses chips from a variety of suppliers including Samsung Electronics Co Ltd, Broadcom Corp, Marvell Technology Inc, CSR Plc and Infineon Technologies AG, analysts say. If Apple succeeds in coming up with its own chip, it could potentially dislodge at least one of these companies from the iPhone, while sending notice of its intent to take an even bigger role in the creation of its products.
Apple could use the internally developed chips to sharply reduce the power consumption of its hit iPhone and iPod touch devices, and possibly add graphics circuitry to help its hardware play realistic game software and high-definition videos.
Apple can expand into chips, be extremely focused and provide a leapfrog advance. New chip capabilities make their way into Apple products and the company gets to play defense.
pple plunges into chip design, don’t expect the company to build a giant chip factory, called a fab. They cost billions. Apple would likely design the chips, then outsource their manufacture to a for-hire chipmaker.
Apple participated in a job fair earlier this month for soon-to-be-unemployed engineers at memory chip company Spansion Inc., which sought bankruptcy protection in March.
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