Apple has reportedly refused to accept a price increase from its sole chip supplier, TSMC, according to Economic Daily News.
The report claims that Apple, the largest customer of TSMC, has rejected the supplier’s plans to increase chip prices next year. TSMC has been planning to increase its prices by six to nine percent, depending on the fabrication process.
TSMC’s chips were already around 20 percent more expensive compared to those from its direct rivals, but smaller foundries have ramped up their own prices in recent years due to higher material and logistics costs, and TSMC has committed to $100 billion in new investment over the next three years, motivating the company to increase its prices to maintain its premium and pass added costs on to clients.
Read more at MacRumors.com