Report: Apple developing an AI chip with TSMC

08 May 2024

Apple Inc. is rumored to be developing its own artificial intelligence (AI) processors for data centers and is working closely with Taiwan Semiconductor Manufacturing Co. (TSMC) to design and produce the chips.

According to a report from the Wall Street Journal, Apple, a leader in smartphone and tablet sales, could potentially give the company a new source of income and an advantage in the race to develop advanced AI semiconductors.

Apple’s AI processor is said to be focused on executing AI models, particularly AI inference, and not AI training where other companies have already made strides — like Nvidia and Intel.

While Apple has been a major player in smart products like the iPhone, iPad, Apple Watch and personal computing spaces, data center servers is not a sector where the company has dominated. The AI chip focused on AI models would integrate Apple’s IC design capabilities into the operation of clients’ servers, the report said.

The AI processor, rumored to be called Project Apple Chips in Data Center (ACDC), is expected to be announced officially next month at the Worldwide Developers Conference (WWDC).

Another report from wccftech last month said that Apple was working on a self-developed AI server processor using TSMC 3 nm process with plans for mass production in the second half of 2025.

It must be noted that Apple has been rumored over the years to develop numerous technologies that never came to fruition. Just a few months ago, Apple killed off Project Titan, its long rumored electric vehicle with self-driving car functions.

Other projects that never happened include AirPower, a mat capable of powering three devices simultaneously; MagicCharger, another smart device charger; and a self-developed smart TV to go with its Apple TV+ streaming platform.

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