Apple and TSMC to produce chips codename “project Azalea”

ipad-a6-e1325875064866

It seems that the much sought emancipation of Apple by Samsung for the production of the internal components of its devices is becoming increasingly popular. Came several rumors about an agreement, called “project Azalea”, between Cupertino and TSMC factory for the provision by the latter of chip to be integrated in devices such as Apple iPad and iPhone.

Business Oregon — the state’s economic development agency — confirms that it’s recruiting a company that goes by the codename “Azalea.” The department declined to discuss details of the effort, citing a nondisclosure agreement with the unnamed company.

However, officials in New York have been actively pursuing what’s known there as “Project Azalea.” Documents obtained by The Business Review, an Albany, N.Y., weekly, describe that project as a 3.2-million-square-foot semiconductor factory that would employ at least 1,000 people. 

The cost of building and equipping a new semiconductor factory — a fab, in the chip industry’s parlance — runs in the billions of dollars. That’s attracted great interest to the chatter around Azalea, which at this point is largely speculative. 

Within the chip industry, the theory is that the fab would be a contract facility to build microprocessors for Apple’s mobile devices, the iPhone and iPad.

The rumors about a deal between Apple and TSMC already circulating for some time, but now it appears that the agreement has taken shape, and soon the two companies will create the “Azalea project” for the production of processors to fit into devices manufactured by the Californian company.

TSMC will produce in the United States, and apparently the site chosen for the building of factories will be Oregon, where the state provides special tax breaks for companies that invest in technology. The plant will cover an area of one million square meters, and we will work over 1000 workers. The cost of the building seems to be around $ 10 billion, and it seems that Apple will spare no effort acquiring the company and providing the necessary funding for the creation of the factory.

If the project Azalea, as it seems, goes through, Apple will be able to emancipate from Samsung for chip production of iPad and iPhone.(via MacRumors)