Apple Expands Intel Partnership: Intel to Produce M-Series and iPhone Chips by 2028

Apple’s chip strategy may be about to see its biggest shift in years. Traditionally reliant on Taiwan’s TSMC for mass-producing its A-series and M-series chips, Apple is reportedly bringing Intel into the fold. Industry analysts now suggest Intel could start producing Apple’s Mac and iPad M-series chips in 2027, followed by iPhone A-series chips as early as 2028. This move could reshape the dynamics of Apple’s supply chain and potentially influence future device performance and innovation.

Last week, renowned analyst Ming-Chi Kuo reported that Apple was planning to partner with Intel to manufacture its M-series chips for Macs and iPads starting in 2027. This report has now been corroborated by another analyst, Jeff Pu, who added that Intel could also produce iPhone chips starting in 2028. Apple currently depends heavily on TSMC to manufacture the A-series chips powering iPhones, as well as the M-series chips for iPads and Macs. According to the reports, Apple could maintain its in-house chip design while outsourcing production to Intel, creating a dual-supplier ecosystem.

Specifically, Intel is expected to produce Apple’s base M-series chips, potentially beginning with the M7, in 2027. Pu’s analysis further suggests that “non-pro smartphone SoC” chips could be Intel-made starting in 2028, implying that base iPhone models and the budget ‘e’ series could be among the first to feature Intel-produced chips. Flagship iPhone models, including those using the A19 Pro chip, would likely continue being manufactured by TSMC. While this transition is still several years away, the potential diversification could significantly impact production speed, cost, and Apple’s bargaining power in the semiconductor industry.

Apple’s strategy has always been to maintain tight control over chip design while partnering with specialized manufacturers for production. Introducing Intel into the mix could reduce dependency on TSMC, mitigate geopolitical risks, and enable Apple to scale production more flexibly. It may also signal Intel’s resurgence as a major player in high-performance mobile and desktop chip manufacturing—a sector where it has lagged behind in recent years.

What Undercode Say:

Apple’s reported collaboration with Intel is both strategic and forward-looking. For years, TSMC has dominated Apple’s chip production, offering cutting-edge fabrication processes that Apple’s devices rely on for performance and efficiency. However, global semiconductor demand, political uncertainties, and supply chain bottlenecks have made Apple cautious about depending entirely on a single manufacturer. Bringing Intel on board could diversify supply, secure production capacity, and potentially foster competition between chip manufacturers, benefiting Apple in cost negotiations and delivery timelines.

From a technical standpoint, Intel’s production of the M-series chips for Macs and iPads is ambitious. Intel has struggled to match TSMC’s advanced node processes, especially for mobile-class SoCs that demand energy efficiency alongside high performance. For Intel to produce M-series chips, significant enhancements in their fabrication capabilities may be required, potentially leading to breakthroughs in Intel’s 7nm or future process nodes. Similarly, producing A-series chips for iPhones will be a stringent test of Intel’s mobile chip manufacturing prowess, as these chips need to deliver high efficiency, thermal management, and integration with Apple’s custom GPU and Neural Engine designs.

Economically, this collaboration may signal Intel’s strategic pivot to regain relevance in the consumer chip space. Apple’s partnership could provide Intel with a long-term, high-volume client that stabilizes revenue and demonstrates its manufacturing competence on a global stage. For Apple, diversifying suppliers also reduces geopolitical exposure, particularly given Taiwan’s critical role in the semiconductor industry and rising global tensions. Additionally, by selectively assigning Intel to base model chips, Apple may optimize performance-cost ratios while keeping flagship products on TSMC’s more advanced nodes.

This development could also influence the broader semiconductor ecosystem. Intel may accelerate innovation to match TSMC’s efficiency and performance standards, while TSMC faces new pressure to retain Apple’s premium chip contracts. The move might encourage other tech giants to consider diversifying suppliers, particularly for critical chips that power flagship devices. The dual-supplier strategy can also provide Apple with strategic flexibility in case of supply disruptions, global crises, or unforeseen production challenges.

Consumer impact may emerge gradually. Base iPhone models and M-series devices could see slight differences in energy efficiency, thermal behavior, or performance depending on the manufacturer. Apple’s tight integration between software and hardware may mitigate these differences, but enthusiasts and performance-focused users might notice subtle variations. Intel’s involvement could also indirectly foster competition in pricing and availability, potentially lowering the cost of future Apple devices or expanding global accessibility.

From a long-term perspective, Apple’s decision highlights the company’s continued evolution as a vertically integrated hardware-software ecosystem. Even while relying on external manufacturers, Apple maintains full control over chip architecture, ensuring that performance, security, and efficiency align with its vision. Intel’s entry into this partnership could also be a testing ground for Apple to explore other manufacturing technologies, including advanced packaging, AI-optimized chips, or next-generation energy-efficient designs.

Strategically, Apple diversifying its suppliers strengthens its position against potential disruptions from geopolitical tensions, natural disasters, or market shortages. By 2028, Intel could become a major production partner, providing both stability and leverage for Apple in its future technological roadmap. This move also sends a message to the semiconductor market: Apple is willing to experiment with production strategies, balancing reliability, performance, and innovation while ensuring supply chain resilience.

Fact Checker Results:

✅ Intel is expected to produce Apple M-series chips by 2027.
✅ Apple A-series chips for iPhones may be produced by Intel starting 2028.
❌ Intel will not design the chips; Apple continues in-house chip design.

Prediction:

Intel’s partnership with Apple may redefine mobile and desktop chip production over the next decade. By 2028, base iPhones and Macs could feature Intel-made chips, potentially spurring competition in efficiency and pricing. If successful, Intel could reestablish itself as a major player in high-performance SoCs, while Apple benefits from diversified supply chains, improved production security, and potentially new innovations in chip performance. ⚡📱