Made in Texas – $3.6 billion non-memory chip production line

Apple A5 Chip

Exclusive: Made in Texas: Apple’s A5 iPhone chip | Reuters.

Apple Inc is famous for relying on low-cost Asian manufacturers to both source and assemble its popular gadgets, but the consumer device giant recently started receiving a critical component in its iPad and iPhones from closer to home – Texas.

The A5 processor – the brain in the iPhone 4S and iPad 2 – is now made in a sprawling 1.6 million square feet factory in Austin owned by Korean electronics giant Samsung Electronics, according to people familiar with the operation.

One of the few major components to be sourced from within the United States, the A5 processor is built by Samsung in a newly constructed $3.6 billion non-memory chip production line that reached full production in early December.

UPDATE: You could actually get (Chip)MADE IN THE USA engraved on the back on iDevices.

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  1. I wonder how much of a product has to be made in the USA before they can use the label “Made in the USA” ?

  2. Ben Zeen (a pseudonym)

    Ian, “all or virtually all”: http://business.ftc.gov/documents/bus03-complying-made-usa-standard

  3. @ben – we updated the post. apple has engraving available for their devices, you could put MADE IN THE USA … the chip šŸ™‚

  4. As a small contract manufacturing place in Dallas Texas(www.bbm-inc.com), I am proud too see this post. Those guys are just south of us and the impact of this spreads all over the U.S.A.

  5. The Apple A5 part is a Package-on-Package (PoP) System-on-Chip (SoC) device based on an Arm Holdings (UK-based) Cortex-A9 Intellectual-Property (IP) core. It also includes a PowerVR (UK-based) Graphics-Processing-Unit (GPU) IP core. The part is being fabricated for Apple in Texas (perhaps the last Industry-friendly State in the US) by Samsung (Korea-based). So keep in-mind, when you buy an Apple product that uses this part, a significant amount of your money is on a one-way trip out of the US. But sadly, that’s the way it is for almost everything these days (IMO).

  6. Being English, I am quite happy that the CPU and GPU are designed in the UK and made elsewhere, and runs code made somewhere else again. it just shows what we can do when we all work together. Humans arn’t doomed yet.

    I used to see ‘made in Britain’ stamped on things, but havn’t for years, but thats OK, I still have an excellent life. it will be nice when China no longer feels the need to stamp ‘made in China’ on stuff too.

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