Apple Predicted to Tap Taiwanese Supply Chain for iPhone 5S Fingerprint Sensor

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KGI Securities analyst Ming-Chi Kuo has been one of the most vocal sources claiming that Apple will be including a fingerprint sensor in the iPhone 5S, indicating that Apple's 2012 acquisition of AuthenTec is ready to bear fruit for the company as a differentiating feature for the next iPhone.

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In a new research report, Kuo outlines his belief that in order to limit rival Samsung's involvement in the iOS device supply chain, Apple will turn to a series of Taiwanese companies to support its fingerprint sensor implementation.

Assuming this is the case, we predict a production flow of the fingerprint sensor as follows: Apple (design) –> TSMC (foundry) –> Xintec (wafer-level packaging) –> ASE and Sharp (module).

While there’s no question that Apple possesses key fingerprint sensor technology, we also think TSMC is a reasonable foundry choice for Apple as it used to serve AuthenTec. We expect Xintec to make the supply chain on its expertise in wafer-level packaging and TSMC is its largest share holder. However, as it was loss-making in 2012, it’s possible Xintec will get capex support from TSMC for the new business.

Kuo is upbeat on the futures of TSMC and ASE, arguing that Apple will continue to forge closer ties with the Taiwanese semiconductor industry. The biggest win for Taiwanese industry would be a shift to TSMC for the A-series chips used in Apple's iOS devices. Apple has long been rumored to be working to shift production of the A-series chips from Samsung to TSMC, with the latest rumors suggesting that move may finally take place with new 20-nanometer A7 chips in early 2014.

Top Rated Comments

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95 months ago
"Apple predicted to Tap Taiwanese..."

PUNS ARE FUN!
Score: 5 Votes (Like | Disagree)
Avatar
95 months ago

Does anyone actually care about the inclusion of a fingerprint sensor?

Personally I don't want to encourage phone thieves to also cut off my fingers.

I reckon all these finger print related rumours are barking up the wrong tree.



I can't wait for the inclusion of a fingerprint sensor. While it could potentially be a little finicky, hopefully Apple has learned their lesson with releasing products and software without fully vetting it first (the big one being Maps) and they really knock it out of the park.

I think it would be extremely useful to scan your fingerprint instead of entering in a passcode to unlock you phone or make a transaction. I'm all for it!
Score: 4 Votes (Like | Disagree)
Avatar
95 months ago

Personally I don't want to encourage phone thieves to also cut off my fingers.


The technology also looks for a pulse, which your severed finger wouldn't have. Having the print match isn't good enough alone. Assuming the thief is smart enough to know its useless without your prints (which they probably aren't,) - they're smart enough to know they need it to have a pulse. And if they're willing (and smart enough to know how) to replicate a pulse, they're probably also willing and smart enough to just get your prints from other things you've touched.

+ I imagine police would take stolen fingers a bit more seriously than stolen phones and that a jury of citizen peers would find anyone cutting off fingers to be deserving of much more severe punishments.

There's a lot of reasons it's not a real concern.
Score: 2 Votes (Like | Disagree)
Avatar
95 months ago

"Apple predicted to Tap Taiwanese..."

PUNS ARE FUN!


As someone who lives in Taiwan and is currently tapping it, I approve of this post.
Score: 2 Votes (Like | Disagree)
Avatar
95 months ago

Does anyone actually care about the inclusion of a fingerprint sensor?

Personally I don't want to encourage phone thieves to also cut off my fingers.

I reckon all these finger print related rumours are barking up the wrong tree.


I would like a fingerprint sensor for added security. Apple should make it so that if you use your middle finger to unlock the device it calls the nearest police station... that way when a thieve forces you to unlock the device you can give him the finger without him realising it.
Score: 2 Votes (Like | Disagree)
Avatar
95 months ago
If you're asleep, I'm going to take your phone and gently press your finger on the home button. I will then walk away :rolleyes:
Score: 1 Votes (Like | Disagree)

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