Tim Cook says Apple will start sourcing chips from US

[Hanno Labuschagne]

Tim Cook says Apple will start sourcing chips from US

Apple Inc. is preparing to begin sourcing chips for its devices from a plant under construction in Arizona, marking a major step toward reducing the company's reliance on Asian production.

Chief executive officer Tim Cook made the disclosure during an internal meeting in Germany with local engineering and retail employees as part of a recent tour of Europe, according to remarks reviewed by Bloomberg News.

[Bloomberg]

 

[Nom Chompsky]

Excellent news. China is a direct competitor to the West and this should be factored into decisions made by Western companies.

 

[Arthur]

Excellent news. China is a direct competitor to the West and this should be factored into decisions made by Western companies.

China is incapable of designing and making high-end and midrange chips. They can't make the machines at the heart of a fab, can't do the software, and can't even operate their imported machines - it's all imported and run by foreigners. Two weeks ago Biden basically killed the PRC semiconductor industry by banning the importation of the super-hitech chip-making systems and software. He also gave US employees in the PRC's fabs 24 hours to either resign and leave the PRC or lose their US citizenship. Other than low-end chips found in appliances, China's chip industry is history.

 

[Arthur]

 

[prod]

Excellent news. China is a direct competitor to the West and this should be factored into decisions made by Western companies.

TSMC = Taiwanese. And they will still be running the factory in Arizona. What Apple needs to do is move assembly away from China.

 

[R13...]

Excellent news. China is a direct competitor to the West and this should be factored into decisions made by Western companies.

Is that a Freudian slip that Taiwan is a province of China?

 

[TheMightyQuin]

China is incapable of designing and making high-end and midrange chips. They can't make the machines at the heart of a fab, can't do the software, and can't even operate their imported machines - it's all imported and run by foreigners. Two weeks ago Biden basically killed the PRC semiconductor industry by banning the importation of the super-hitech chip-making systems and software. He also gave US employees in the PRC's fabs 24 hours to either resign and leave the PRC or lose their US citizenship. Other than low-end chips found in appliances, China's chip industry is history.

All done by ASML....without their tech there wouldn't be chips.

 

[Vorastra]

China is incapable of designing and making high-end and midrange chips. They can't make the machines at the heart of a fab, can't do the software, and can't even operate their imported machines - it's all imported and run by foreigners. Two weeks ago Biden basically killed the PRC semiconductor industry by banning the importation of the super-hitech chip-making systems and software. He also gave US employees in the PRC's fabs 24 hours to either resign and leave the PRC or lose their US citizenship. Other than low-end chips found in appliances, China's chip industry is history.

I wonder what would happen if ASML challenged the US ban.

 

[Vorastra]

All done by ASML....without their tech there wouldn't be chips.

Which is not even American.

 

[Arthur]

I wonder what would happen if ASML challenged the US ban.

Very unlikely - they are totally dependant on US tech to put together their EUV machines. They have R&D and manufacturing centers on both US coasts.

 

[TheMightyQuin]

Which is not even American.

Dutch

 

[Vorastra]

Very unlikely - they are totally dependant on US tech to put together their EUV machines.

I was under the impression their machines are completely their own design.

 

[Vorastra]

Dutch

Yes. Mentioned it above. Nvm, removed that in my comment.

 

[Jet-Fighter7700]

why cant they just buy Israeli Chips?

 

[Okty]

During the meeting, Cook said that 60% of the world’s processor supply comes out of Taiwan.

“Regardless of what you may feel and think, 60% coming out of anywhere is probably not a strategic position,” he said.

I wonder if the chip shortage during "that global artificial economic stifling event" has big influence on this decision?

Also, maybe China going to annex Taiwan probably in the near future.

 

[TheMightyQuin]

China is incapable of designing and making high-end and midrange chips. They can't make the machines at the heart of a fab, can't do the software, and can't even operate their imported machines - it's all imported and run by foreigners. Two weeks ago Biden basically killed the PRC semiconductor industry by banning the importation of the super-hitech chip-making systems and software. He also gave US employees in the PRC's fabs 24 hours to either resign and leave the PRC or lose their US citizenship. Other than low-end chips found in appliances, China's chip industry is history.

Chinese chipmaker SMIC, which recently shocked the US by announcing that it had produced 7-nm chips despite being denied access to EUV equipment, is now reported to be advancing to more advanced 5-nm.

SMIC has also started construction of a new 300mm wafer fab.

 

[noxibox]

why cant they just buy Israeli Chips?

They're always fighting with their neighbouring chips.

 

[noxibox]

They're still going to be buying them from an Asian company.

 

[Jet-Fighter7700]

They're always fighting with their neighbouring chips.

yes if those Chips came in 7.62 MM

 

[TheMightyQuin]

I was under the impression their machines are completely their own design.

I think each machine consists out of about 500 parts...of which quite a few are manufactured by other vendors.

BUT I think it is a cost thing thing...not a tech thing...i.e. ASML can build those components too.