Apple and its iPhone 7 may have just put the "fab" in fabrication news for TSMC, the Taiwanese iPhone chip maker that previously split manufacturing duties with Samsung.
Why this is a big deal for Samsung
This is a big blow to Samsung because while its smartphone division has struggled in recent months, it still saw an increase in profits from making the iPhone 6S and iPhone 6S Plus chips.
Apple has long been looking to push Samsung out of the picture. After all, it's not only the top iPhone challenger, it's been locked in a bitter court battle with Samsung since 2011.
All hope is not lost for Samsung's phone processor manufacturing business. It's said to be helping Qualcomm mass produce the new Snapdragon 820 chip.
That speedy System-on-a-Chip is rumored to be at the center of the Samsung Galaxy S7 and Samsung Galaxy S7 Edge, both of which are expected to be unveiled on February 21.
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