Intel to Build Next Generation Processor for iOS devices?

It looks like Apple will be using Intel as a main processor manufacturer to power the iPad, iPod touch, and the iPhone. Apple, who currently uses Samsung, will focus on making a switch to Intel within a year.

As EETimes reports, Intel is already supplying x86-based processors for Apple's PC line, but now the company wants Intel to power the iPad, iPod touch, and iPhone hardware. Apple, who does not have its own factory for processors, simply designs the processors and relies on Samsung and TSMC to build them.

"It makes strategic sense for both companies. The combination of Apple's growing demand and market share in smart phones and tablets gives Intel a position in these markets and drives the logic volume Intel needs to stay ahead in manufacturing. Intel's manufacturing lead gives Apple an additional competitive advantage in these markets and distances it from Asian competitors that are knocking off its products. Furthermore, it would also serve to weaken Samsung who is a significant competitive threat to both companies," said analyst Gus Richard.

Samsung will continue to remain as Apple's main choice for processors for now, but in a year or so, Apple will transition to using Intel processors. Since Intel already builds processors for Apple's Mac product line, this only makes sense.

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