Apple Acquires Chip Maker PA Semi

It looks like Apple has its eye on an internal overhaul for the iPhone and maybe even some additional portables. Late yesterday, Apple let the cat out of the bag with regards to its acquisition of microprocessor design firm PA Semi. The deal; a cool $278 million in cash. Apple is being rather tight-lipped as far as its intentions are concerned, but the acquisition is quite significant in that is essentially sends Intel packing its bags. Intel had been pushing Atom ships on Apple for some time now and apparently the pitch needed a bit of work. PA Semi manufactures “sophisticated low-power” and the quality of PA Semi’s work can’t be too shabby if Apple is willing to bank its portable device future there. This news is also a blow to Samsung, the current chip manufacturer of choice for the iPhone’s applications processor. The time line is estimated at about a year before Apple will start churning out products that house PA Semi chips, which gives Samsung (and likely other related Apple partners) a stay of execution. One can’t help but wonder what other manufacturing aspects Apple will look to move in house…


View Comments