According to Ming-Chi Kuo, an analyst specializing in the Apple supply chain, Intel has already kicked off small-scale foundry testing for chips intended for entry-level iPhones, iPads, and Macs. Moreover, the company has outlined plans to ramp up production on a larger scale between 2027 and 2028. Apple is set to adopt Intel's cutting-edge 18A process technology, while also keeping the option open to assess other advanced processes. In bringing Intel on board as a foundry partner, Apple stands to gain multiple advantages. It can significantly cut down on procurement costs, ensure a stable and sufficient production capacity, and may even receive support from the U.S. government. However, it's worth noting that TSMC currently dominates the chip foundry market for Apple, holding a staggering over 90% share. In this collaboration, Intel will be solely responsible for the manufacturing aspect and will not be involved in chip design. The model of cooperation entails Apple handling the in-house design of the chips, while Intel takes charge of foundry production in the United States. These chips will then be used in select entry-level models.
