Apple (AAPL) and with Taiwan Semi (TSM) Enter Long-Term Partnership
Tweet
Share
E-mailGet Alerts AAPL Hot Sheet
Price: $315.32 -0.28%
Overall Analyst Rating:
SELL (= Flat)
Dividend Yield: 0.4%
EPS Growth %: +20.4%
Overall Analyst Rating:
SELL (= Flat)
Dividend Yield: 0.4%
EPS Growth %: +20.4%
Join SI Premium – FREE
Apple (Nasdaq: AAPL) has entered into a partnership agreement with Taiwan Semiconductor Manufacturing Company (NYSE: TSM), DigiTimes reporting Friday.
According to the terms of the agreement, Taiwan Semi will use its 28nm and 20nm process technologies to produce Apple’s next-gen CPU. Analysts forecast Taiwan Semi may become Apple’s new foundry partner following a spat of litigation between Apple and Samsung Electronics. Most analysts don't expect Taiwan Semi to receive orders from Apple until 2012.
The deal is expected to exceed the production and manufacturing of Apple’s A6 processor.
Taiwan Semi's gross margin for the second quarter of 2011 was 46 percent and sources say the new contract contains similar gross margin yields.
According to the terms of the agreement, Taiwan Semi will use its 28nm and 20nm process technologies to produce Apple’s next-gen CPU. Analysts forecast Taiwan Semi may become Apple’s new foundry partner following a spat of litigation between Apple and Samsung Electronics. Most analysts don't expect Taiwan Semi to receive orders from Apple until 2012.
The deal is expected to exceed the production and manufacturing of Apple’s A6 processor.
Taiwan Semi's gross margin for the second quarter of 2011 was 46 percent and sources say the new contract contains similar gross margin yields.
Serious News for Serious Traders! Try StreetInsider.com Premium Free!
You May Also Be Interested In
- Apple has talked to PrismML about ways it could use its technology - The Information
- AutoZone promotes Grace Sharpley to SVP of Finance
- NSA sets July 22 closing for Public Storage acquisition
Create E-mail Alert Related Categories
Corporate News, Insiders' BlogSign up for StreetInsider Free!
Receive full access to all new and archived articles, unlimited portfolio tracking, e-mail alerts, custom newswires and RSS feeds - and more!
