iPhone 7 / 6S To Be Powered By Samsung Chip [REPORT]

While Samsung is reported to be making the lion’s share of the iPhone 7 or iPhone 6 S chips, there’s speculation Apple itself is making the rest

The iPhone 7, iPhone 6S or whatever the next generation iPhone ends up being called will probably still run mostly on Samsung processors, according to a South Korean newspaper. According to Se Young Lee of Reuters, Maeil Business Newspaper reported today that Samsung will supply approximately 75% of the chips for Apple’s next smartphone.

The report indicates that Samsung intends to make the A9 series chips at its factory located in Austin, Tex.

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iPhone 7 / 6S To Be Powered By Samsung Chip [REPORT]

iPhone 7 (?) chips to be made by Samsung

The newspaper cited sources within the semiconductor industry for the information and did not give any details regarding the financial terms of the contract. It has been reported previously that the deal between Apple and Samsung was worth billions, according to Mac Rumors.

The report from the South Korean newspaper also did not say which other company or companies will be making the other 25% of the chips for the next iPhone, whether it’s the iPhone 7 or, more likely, the iPhone 6S. There have been previous reports stating that Taiwan Semiconductor Manufacturing Company (TSMC) would also be supplying the A9 chips along with Samsung.

Apple trying to make its own iPhone 7 chips?

According to ZDNet‘s Zack Whittaker though, some have speculated that Apple itself could be supplying the other 25% of the chips for the iPhone 7 or iPhone 6S.  The company has been trying to move away from relying heavily on third parties for its major components. Apple has been especially interested in getting away from Samsung, which also happens to be its biggest competitor in the smartphone market.

He speculates that Apple’s efforts to supply its own iPhone chips may not be going so well. It’s been clear that the company is trying to move in this direction because it has hired Jim Mergard, formerly of Samsung and AMD, to boost its chip making efforts.

Another possibility Whittaker suggests is that Apple may be discovering that Samsung is doing a better job and offering a better cost benefit.