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Why did Apple abandon Intel processors and what effect does that have on the Blue Giant?

 Apple has made a fresh start in the history of the laptop industry by announcing three new Mac devices running the first segment of Apple production under the name Apple M1, based on the arm architecture on which the company relies in the manufacture of its iPhone chips, and in this move Apple ends a 15-year partnership with Intel in which the latter presented all its efforts to push the first devices forward.

Apple is currently the world's fourth largest computer manufacturer, so its shift to use its own segments in future generations of Macdevices will have a strong impact on Intel and the future of the semiconductor industry as a whole.

The new Apple M1 chip is based on ARM architecture in manufacturing, rather than the x86 architecture used by Intel chipsets. Originally designed for mobile devices, instead of a separate set of processors, the M1 chip will provide a single system on the SoC chip, and that integrated chip can handle all calculations, graphics, and any other tasks from one place. ARM-built slides are more efficient for long use, extending battery life, for a laptop means more time without having to charge the device.

But that's just one reason why Apple is making this last step, are there any other reasons?


Why did Apple abandon Intel processors? 

Apple's strategy to own and manufacture its own core technologies

Apple CEO Tim Cook has repeatedly said that the company has a "long-term strategy to own and control the core technologies behind the products we manufacture."

For the computer industry, there is certainly nothing more important than the processor on which every large and small processor depends in the structure of the device, so it made sense for Apple to begin to develop a precise plan to have a strong and competitive processor that supports the company's strong position globally.

In recent years, Apple has invested all its efforts to develop the Silicon division, including major acquisitions, starting with pa semi's $278 million purchase in 2008 as a starting point for the division, and most recently part of Intel's $1 billion modem business in 2019. During this period, the company has been manufacturing A-series segments for iPhones, iPads and Apple Watches since 2010, and now Apple is transferring 10 years of experience to its Macs.
Intel lags behind industry development

The second reason why Apple's abandonment of Intel processors makes a bit of sense is that Intel's newest processor works with 10 nm of manufacturing accuracy, and intel's first processor is expected to appear with a manufacturing architecture of 7 nm or less about two years from now. While the new chips offered by Apple support the resolution of 5 nm modern. In general, the smaller the transistor manufacturing accuracy, the more space to deliver a higher transistor number in the same space, which increases the efficiency of the chip, gives an opportunity to manufacture smaller segments, and compared to the apple segments and the latest Intel chipwed we are talking about almost double the number.

Intel controls its own specific group of factories around the world known as "Fabs" to manufacture its own processors, and it does not yet have 5 nm of manufacturing technology, while Apple relies on a group of companies in Asia, led by Taiwan's leading TSMC, which certainly has the latest manufacturing technology.
Longer battery life and better performance, laptops work like smartphones

Apple says the M1 Macs are better products than older models, offering better performance and longer battery life than devices can achieve with Intel chipsets.

During the launch event of Mac devices with the new processor Apple confirmed that the company is basically evaluating chips on performance per watt, not raw performance. For example, on the MacBook Air, Apple says it can work 15 hours of web browsing on a single charge, compared to 10 to 11 hours in the previous generation intel processor, we're here facing a 30% increase in battery life. Apple also said that the new Macs work like phones or tablets, with features such as the ability to wake up from "sleep" mode instantly. The new M1 Mac devices can also run iPhone apps.

For performance, the new Apple chip has 16 kernels, more than the six nuclei found in Intel's most powerful processors, and are cleverly divided for fast, robust and integrated performance.

What is intel's fate after Apple abandoned it?

On the other side of Apple's plans, the global semiconductor maker is monitoring Apple's shift away from its powerful processors, a process that will last two years until Apple gradually removes Intel processors from its computers. But the question now is: What effect does this move have on Intel, and can the Blue Castle shake up because of apple's latest move?

First of all, we need to clarify the amount of Intel's revenue from its partnership with Apple, the latest figures indicate $3 billion, which is roughly 4% to 5% of Intel's annual profits exceeding $71 billion. A small percentage already, but here we are talking about Apple and not any other company. Unlike other companies, Apple has a special charm in the industry,although Macs account for only about 8.5% of the pc market, apple remains one of the largest and most influential technology companies.

MacBook Air models have led the trend toward skinny laptops, MacBook Pro models are still popular with programmers and designers, and Apple's profits from selling its high-priced devices exceed most sales of other Windows devices. So losing a company like Apple is something that can't be underestimated!

General orientation to use ARM architecture

Apple's move to use an ARM processor on computers may be the beginning of a general trend from competing companies, and this move could even be a forced move for some competitors, so x86 processors will be completely eliminated. Here Intel is in a big bind, the company is bound by a specific group of factories that do not have the techniques of this process of the industry, but Apple has no problem, it deals with contracting with Asian companies that already have various manufacturing technologies.

Strong threats from Qualcomm

One of the biggest concerns associated with the new M1 processor is encouraging Intel's competitors, led by Qualcomm, to break into the larger computer processor industry. Qualcomm is already a leader in arm-based processor manufacturing, and the company is working to offer chipsets dedicated to computers, and although these projects have never posed a major threat to Intel before, Apple's latest move will open a wider door to these ambitions.

Intel is trying to survive

Intel's sky may seem cloudy, and some may expect a close end to the legend of the Blue Castle. But the winds of change carry a glimmer of hope that makes Intel fans breathe a sigh of relief. The latest reports from Intel sources point to the company's plan to hire other manufacturers such as TSMC to build its next processors.

Intel has not even commented on the details of its manufacturing plan, but has simply said that its integrated approach to design and manufacturing helps to compete, and reassures its customers that it can provide the chips they need. The company added that it will continue to invest in the development of leading technology, without specifying a particular thing.

So far, there are many predictions and analyses of Intel's current and expected position that we do not want to list. But in the end, it's still in the hands of the old company, either a fresh start, or a slow fall to the end.