Apple May Use Intel Fabs Again, But Analysts Say TSMC Still Runs The Chip Game
Apple may be edging back toward Intel’s chip factories, but according to Bernstein SocGen Group, this is not the dramatic TSMC shake-up some people might assume.
A new Bernstein report argues that Apple’s reported fabrication arrangement with Intel is unlikely to hurt TSMC in any serious way. Analyst Mark Li’s read is pretty straightforward: Intel still has not shown signs that it is closing the technology gap with TSMC, and the expected Apple orders are simply too small to move the needle.
That matters because Apple is one of the biggest names in consumer tech, and any shift in where it makes chips gets watched like a final-circle esports rotation. But based on Bernstein’s view, this sounds less like Apple abandoning TSMC and more like Apple testing alternative supply routes.
What Apple is reportedly planning
The tentative Apple-Intel deal is expected to involve Intel’s 18A-P process. Apple could reportedly use it for base M7 chips expected around 2027. The company’s A21 chip, expected in 2028, may also be fabricated using Intel’s 18A-P process, or possibly Intel’s more advanced 14A node.
Apple has already obtained PDK samples from Intel to evaluate 18A-P, which means the company is at least seriously checking whether Intel’s process can fit its roadmap. Separately, GF Securities believes Apple’s upcoming ASIC, reportedly called Baltra and expected in 2027 or 2028, may use Intel’s EMIB packaging.
Still, Bernstein’s point is that testing or splitting some production does not automatically equal a major foundry power shift. Li reportedly sees TSMC as Apple’s most cost-efficient option, especially when performance, yield, and scale are all part of the equation.
Why TSMC still looks hard to beat
TSMC’s biggest advantage remains advanced-node leadership. Bernstein describes TSMC as maintaining strong AI and technology leadership, and the firm reportedly still sees it as the most reliable “AI compounder.” In normal human language: if AI chips keep booming, TSMC is still one of the main companies positioned to benefit.
Samsung is improving, but Bernstein’s view is that its foundry technology still trails TSMC. The report also claims TSMC is currently the only fab mass-producing “true 2nm” chips, while Samsung’s GAA 2nm node is described as functionally closer to TSMC’s 3nm.
Intel and Samsung may still win more business, but the report frames that momentum as being driven partly by geopolitics and supply-chain diversification rather than pure technical superiority. In other words, big tech firms want backup options. Nobody wants all their silicon eggs in one basket, especially when chips now sit at the centre of AI, phones, laptops, consoles, servers, and even cars.
Why Malaysian and SEA readers should care
For us in Malaysia and SEA, this is not an immediate “your next iPhone or MacBook will be cheaper in RM” story. Don’t expect instant price drops at Machines, Switch, Shopee, or Lazada just because Apple is talking to Intel.
The bigger impact is longer term. Chip supply decisions affect launch timing, product availability, and how fast new performance features reach devices we actually buy. If Apple successfully diversifies production, it could make future iPhones, Macs, and AI-focused hardware less vulnerable to supply bottlenecks. But if Intel’s process is not competitive enough, TSMC will remain the main engine behind Apple’s high-end chips.
This also matters for PC gamers and builders. The same foundry race touches AMD, Intel, NVIDIA, and custom AI silicon. Wccftech notes that AMD has reportedly awarded Samsung an order for 2nm-based Venice and Veranos CPUs, while TSMC is apparently pushing hard on capacity with 12 fabs in different stages of construction to strengthen its 2nm and A14, or 1.4nm, roadmap.
So yes, Apple working with Intel sounds spicy. But based on Bernstein’s take, TSMC is not sweating yet. For now, the chip king still looks very comfortable on the throne.
Source: Wccftech Gaming
