According to Bloomberg News, Apple CEO Tim Cook announced last month at an internal business conference in Germany that Apple will purchase some of its chips from a facility in Arizona.
At the moment, Taiwanese factories supply Apple with all of its processors. Taiwan Semiconductor Manufacturing Company produces the A-series and M-series processors that power iPhones and Mac computers using its own semiconductor designs.
Apple’s supply chain would be significantly diversified away from Taiwan if it were to purchase processors made in the United States.
According to Bloomberg, Cook stated, “We’ve already decided to be buying out of a factory in Arizona, and this plant in Arizona starts up in ’24, so we’ve got about two years ahead of us on that one, maybe a little less.
TSMC previously disclosed plans for a solitary Arizona factory to start producing cutting-edge manufacturing technology-focused chips in 2024. Due to “high customer demand,” TSMC said earlier this month that it is preparing to build a second chip facility in Arizona. Additionally, Intel runs chip foundries in Arizona and has stated that it wants to secure Apple’s business for its brand-new foundry division, which produces chips for other firms. Additionally, it intends to construct other factories in Ohio.
Politicians in the United States have expressed concern that sourcing sophisticated and pricey components from Taiwan could put consumers at risk and result in chaos if China ever invaded the island nation. 60 percent of the processors in the world, according to Cook, are based in Taiwan.
Apple sources parts from other nations, including the United States and Taiwan, but it performs the majority of the final assembly for iPhones and other devices on the Chinese mainland. Cook reportedly stated that Apple was thinking about purchasing processors from European manufacturers as well.
The CHIPS Act, which was passed by Congress earlier this year and contains nearly $50 billion in financial incentives for semiconductor businesses to locate plants in the United States, was passed. A spokesperson at Apple declined to comment.
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