Apple/TSMC - The Rumour Mill

I just read an interesting article on the EE Times website ​regarding rumours that Apple are going to use TSMC to manufacture its next generation applications processor, the A5.

If this is true it would be a big blow to Samsung Semicinductor.It has been manufacturing the A4 for Apple and benefitting from the strong growth of the iPhone 4 and iPad.

It does make good business sensefor Apple however as Samsung Electronics are a key competitor in the smartphone and media tablet market and moving to TSMC allows them to keep any secrets fromits competitors.

Would it spell the end of the Apple/Samsung relationship? Very unlikley as Apple will still likely rely on Samsung for other key components such as displays.