Apple Chip Supplier Hit by Intel Delay Ahead of 'A17 Bionic' Production in 2023

Apple chip supplier TSMC is scaling back its plans to produce 3nm chips next year after Intel postponed a major order, Taiwanese research firm TrendForce reports.

3nm apple silicon feature
Intel reportedly planned to outsource production of its Meteor Lake tGPU chipset to TSMC, with mass production scheduled for the second half of 2022, before being delayed to the first half of 2023 due to design and verification issues. Now, Intel is said to have delayed mass production to the end of 2023, virtually cancelling the 3nm chip production capacity that it had booked with TSMC for most of next year.

As a result, TSMC has apparently been "greatly affected" by the move, forcing it to slow its expansion of 3nm chip production to ensure that production capacity "is not excessively idle, leading to massive cost amortization pressure."

Apple is believed to be the main customer of TSMC's initial 3nm chip mass production. According to the report, Apple is now the only major company among the first wave of 3nm chip production clients with orders scheduled between the second half of 2022 and the start of 2023. Apple's upcoming 3nm chips reportedly include new M-series chips and the "A17 Bionic."

It is not clear if the disruption at TSMC caused by Intel will impact Apple's 3nm chip production volume or schedule. The first 3nm chip from Apple is rumored to be the M2 Pro, debuting in the 14-inch MacBook Pro, 16-inch MacBook Pro, and a high-end Mac mini model.

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Top Rated Comments

BootsWalking Avatar
27 weeks ago
Intel is like an ex-spouse - causes you grief even years after you've broken up.
Score: 38 Votes (Like | Disagree)
Colstan Avatar
27 weeks ago
Yet folks still find ways to justify the idea that Apple should have stayed with Intel, despite Intel's repeated, obvious failures.
Score: 28 Votes (Like | Disagree)
lynxwildcat Avatar
27 weeks ago
Intel finds another way to screw Apple.
Score: 27 Votes (Like | Disagree)
Adreitz Avatar
27 weeks ago
Wait, shouldn't this be a good thing? Freeing up TSMC capacity for everyone else?
Score: 18 Votes (Like | Disagree)
azentropy Avatar
27 weeks ago
Funny stuff. Basically the original concern was that Intel was going to use all the 3nm production leaving Apple out in the cold and now the fear is that because Intel isn't going to use it that TSMC will not ramp up production since there won't be enough customers leaving Apple out in the cold....

It is almost like someone is trying to spin that whatever happens it will be bad news for Apple! ;)
Score: 15 Votes (Like | Disagree)
h3ysw5nkan Avatar
27 weeks ago

If intel keeps this up, their outsourced chip manufacturers won’t do business with them in the future. I suspect they’ll get 1 or 2 more mistakes like this
People who defend Intel always say Intel is a great chip designer, they just haven’t caught up on fabrication. Now, it’s clear that they suck on everything.
Score: 13 Votes (Like | Disagree)

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