Apple is making strides to develop its own hardware components, aiming for better integration and efficiency, such as incorporating the Proxima chip in upcoming iPhones.
The Proxima chip, produced by TSMC, represents Apple's long-term strategy of reducing reliance on third-party suppliers like Broadcom for critical technology.
Apple's transition to its own components is set to impact Broadcom significantly, as Apple constitutes about 20 percent of its sales, leading to a notable drop in Broadcom's stock.
With the Proxima chip, Apple anticipates not only enhancing the functionality of its products but also saving costs and optimizing device performance across its ecosystem.
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