Apple A7 chip is reportedly being manufactured by TSMC

Apple A7, the next-generation chip for iPhone and iPad is reportedly under the preparation cycle according to a report in DigiTimes. A7 will feature in the 2014 line-up of the products from the California giant. Taiwan Semiconductor Manufacturing Company, or TSMC is reported to create the processor using its novel 20-nanometer manufacturing process.

Samsung has been the sole provider of processors for Apple till date, but the iPhone manufacturing company is looking to diversify. The early production is expected to begin in the coming months with implantation of the chip to be carried out in the first quarter of 2014. With Apple looking to diversify, many reports suggest that the firm could also look towards Intel in the future.

TSMC and Apple have been long-rumoured to partner for manufacturing components for Apple devices. There has been no confirmation from the Taiwanese company about taping the processor for Apple. TSMC has set an increased budget this year and is looking to bolster the firm’s 28nm manufacturing process.

iPhone 5S and a cheaper iPhone rumours have been circulating in the market, but there has been nothing concrete in the reports, with Apple keeping things under wraps. With Galaxy S4 slated to release today, Times Square event will be watched by Apple keenly. If Galaxy S4 turns out to be a reflection of the rumours, Apple will have to create something special with its next smartphone in order to gain an upper hand.