Samsung reportedly drops out of A8 chip production race citing low yield rates

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Apple’s next-generation A-series chip, the A8 processor, was rumored to be produced by long-time partner Samsung as well as Taiwan Semiconductor Manufacturing (TSMC). But a new report claims that Samsung has dropped out citing low yields of the A8 chip, leaving TSMC as the sole manufacturer.

The A8 chip will reportedly be based on a 20nm process, and will be used in the iPhone 6 and the next-generation iPads. Samsung is facing problems specifically with its 20 nm process required to manufacture the A8 chip. As a result, TSMC, which was expecting around 70 percent of all A8 production, will now be responsible for all production.

While many rumors claim that Apple wants to reduce its reliance on Samsung for critical components of the iPhone, Apple will still go back to Samsung for the A9 chip in 2015, according to this report. The production of the A9 will reportedly start based on a 16nm process at TSMC, and Apple will then move to Samsung’s 14nm process later on.

[TechNews Taiwan via MacRumors]