Apple A5 chip production lines to the great state of Texas

Apple A5

Apple has historically outsourced their A5 chip production to Asian manufacturing plants, however this has recently changed with a move away from offshore production lines and into the great state of 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.

Samsung, makers of the A5 chip designed by Apple that sits at the heart of the new iPhone 4S and iPad 2, recently completed a $3.6 billion non-memory chip production plant in December which is now fully up and running, pumping out A5 chips at a full production rate to help Apple keep up with demand of their popular iOS devices.

Samsung added around 1,100 jobs to support the new chip production line, which is said to be equivalent the size of 9 football fields. Why Austin Texas? The reason for the move is said to be due to the high amount of educated workers fresh out of the gate from the University of Texas' engineering school.

Source: Reuters

Andrew Wray

Andrew Wray is a Salt Lake City, Utah based writer who focuses on news, how-tos, and jailbreak. Andrew also enjoys running, spending time with his daughter, and jamming out on his guitar. He works in a management position for Unisys Technical Services, a subsidiary of Unisys Corporation.

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There are 12 comments. Add yours.

Cajunrph says:

Dude, you show your lack of knowledge of Austin. Austin is the most liberal city in the State by a long shot, to the point some say it is more like a California large city than a Texas large city. Austin is anything but Republican, the state may be but not the capital. Funny thing is that most of the state legislature is republican going in to an oasis of liberalism to get their work done. May be that is why we don't have a full time state legislature, only here every other year for the full session, then coming in for special sessions as needed.

Schrutefarms says:

He's right. I live in San Antonio and we consider Austin the California of Texas. I personally can't stand Austin because of the type of people the city produces... But... It's great that apple is moving jobs in the USA.

Malcolm says:

"Why Austin Texas? The reason for the move is said to be due to the high amount of educated workers fresh out of the gate from the University of Texas’ engineering school."
I would be willing to guess it has more to do with low taxes, right-to-work labor law, and no state income tax....weird wonder why they didn't pick Michigan or Illinois?

Guest says:

I'd be willing to place a bet and say you're right. When Dell burned their last bridge in Texas, they moved to Tennessee because of these very same reasons.

Derka says:

Texas is a much better school obviously.

Jessica Ramos Edholm says:

Well, this is cool! More Jobs in the USA. Hope its a trend!

Anton Frost says:

This is especially interesting, given the legal battle between Samsung and Apple. Great for the lawyers. Not so great for the companies. Maybe they can figure it out and end the nonsense.

Jbolt5150 says:

Regardless of where the profit or going or how much of it - there are American workers making the product... On American soil... Paying AMERICAN taxes and that's precisely what we need. Doesn't matter of its Apple driving the boat or Samsung - this country needs jobs and this just helped someone stay off government assistance.

Russell says:

This is one huge addition to my defense when being of accused of being an Apple Fanboy.
I agree with iSRS: I would love a future iPhone/iPad/iWhatever to say "Designed in California - Made in The United States".

Derp says:

if you want to pay $2,000 for an iPhone

Derp says:

I don't know about great state.