Apple has developed various processors used in its devices, including A-, M-, C-, S-, and R-series chips, but does not manufacture them directly. The company partners primarily with TSMC, which manufactures around a quarter of its business, to produce these chips. Recently, TSMC has started to localize production by opening a factory in Arizona. This shift may influence Apple's supply chain strategy, as the company seeks greater control over its chip manufacturing process despite historically outsourcing this function.
Apple's vast array of custom-designed chips demonstrates its commitment to innovation, but the company relies heavily on partners like TSMC for manufacturing.
With TSMC's new factory in Arizona beginning production, Apple is taking steps to localize its chip manufacturing, which could impact its supply chain strategy.
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