Samsung will not be manufacturing the chipsets in the iPhone 6, but will be back for future iPhones.

Samsung Is Charging Apple 20 More on Every A6X Chip Manufactured Samsung not making processors for iPhone 6

A report from the Korea Economic Daily, a Seoul-based paper, says that Samsung will not be manufacturing the processors for Apple’s upcoming iPhone 6 and will be manufacturing a low-cost ARM processor to make up for the loss of revenue.

As the developing world industrializes, its consumers are going to want smartphones and tablets; many in the developing world eschew a traditional PC for these devices. Low-cost processors will power these devices, and the next billion customers of smartphones and tablets will likely use a device powered by one of these processors.

The Korea Economic Daily says that the low cost processors Samsung intends to develop would likely have an integrated modem, which its current flagship Exynos chips nor its A-series chips have.

Manufacturing a low-cost processor with an integrated modem would put Samsing in direct competition with Qualcomm and up-and-comer MediaTek. MediaTek’s mobile processors have had considerable success in the low cost device market. At this year’s Computex, the company had a prominent showcase with dozens of devices powered by its chips on display.

Earlier, the Korea Economic Daily reported that Samsung will be manufacturing chips based on ARM’s A9 technology when it comes online.

Source: Korea Economic Daily

Via: CNET