TSMC, a big partner for Apple, makes chips for millions of their devices each year. But, according to their founder, there was a time when Intel tried to make chips for the iPhone but didn’t do well enough to impress Apple’s CEO, Tim Cook.
TSMC Founder Wasn’t Worried About Intel Competition for iPhone Chips
In a recent conversation on the Acquired podcast, Morris Chang, the founder of TSMC, talked about the history of working with Apple. One key point was back in February 2011 when Intel was considered for producing iPhone chips.
At that time, Intel already made chips for Apple’s Macs. However, their attempt at iPhone chip production didn’t go as planned. Chang mentions a talk with Jeff Williams, who said, “We need to take a break from our talks for a couple of months because Intel’s top people have approached Tim Cook to discuss making chips for the iPhone.”
Chang wasn’t too concerned because, in 2011, Intel didn’t have the same strong reputation it once did:
“Jeff was talking about the iPhone,” Chang said. “I wasn’t too worried because Intel wasn’t the big deal anymore. I had to agree to Jeff’s request, but I wasn’t really concerned.”
Later, Cook met with Chang over lunch at Apple’s headquarters, where he reassured Chang by saying, “There’s nothing to worry about,” explaining that Intel didn’t have the right know-how to be a chip foundry. Chang found this response brief but reassuring.
Chang also shared insights on Intel’s customer relations:
“Before Apple became our customer, I knew many of Intel’s customers in Taiwan, like all the PC makers. None of them were fans of Intel. Intel often acted like they were the only game in town.”
He added that these customers “all wished there was another supplier.”
You can view the complete interview for more insights into the tech industry’s past.