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Monday, December 23, 2024

Apple’s Bold Move: Custom Chips Set to Power iPhones and Smart Devices

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Reuters Yonhap News

Apple is significantly accelerating its efforts to incorporate custom-developed chips into its lineup of devices, including the iPhone.

Bloomberg News reported on Thursday that Apple plans to begin using its own Bluetooth and Wi-Fi chips in the iPhone and smart home devices as soon as next year. The chips, codenamed Proxima, have reportedly been developing for several years and are set to debut in 2024. This move is part of Apple’s broader strategy to reduce reliance on third-party suppliers, particularly U.S. semiconductor giant Broadcom, by developing and integrating its own components. According to sources, as with Apple’s other in-house chips, Proxima will be produced by Taiwan Semiconductor Manufacturing Company (TSMC), the world’s largest contract chipmaker.

In addition to its ongoing push for greater control over hardware, Apple has been working on an end-to-end wireless solution. This approach would allow for data transmission without physical connections, aimed at improving energy efficiency and enabling tighter integration across its ecosystem of devices. According to sources, the new Proxima chip will first be incorporated into updated versions of Apple’s TV set-top boxes and HomePod mini smart speakers. Apple also plans to integrate the chip into iPhones by late 2024, with iPads and Macs expected to follow in 2026.

Apple has a long history of designing and integrating its own custom chips. While the company relied on Intel chips for its desktop and laptop computers, including iMacs and MacBooks, it transitioned to its own M-series chips starting in 2020. Reports suggest that Apple is venturing into artificial intelligence (AI) chip development. On Wednesday, The Information reported that Apple is collaborating with Broadcom to develop server chips specifically designed for AI processing.

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