Apple Has Become The World's Largest Chip Buyer

According to iSuppli, Apple purchased chips for $17.5 billion in 2010, which represents an 80% increase from $9.7 billion in 2009. The growth was strong enough to surpass HP as well as Samsung last year.

The main reasons for the massive growth is Apple's success in the smartphone and tablet space, which requires the company to purchase huge amounts of flash memory. iSuppli believes that Apple will continue to grow - and continue to outgrow other chip buyers. 61% of Apple's chip purchases in 2010 were related to the iPhone, iPad and iPod. In comparison, HP spent 82% of its chip purchases on desktop, server and notebook products.

HP is estimated to have spent $15.1 billion on semiconductors in 2010. iSuppli believes that HP's spending will contract in 2011, while Apple's spending will exceed $22 billion this year and top HP's spending by about $7.5 billion.

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  • Nesto1000
    Too many companies rely on HP/Dell computers for their workers and such... I don't see HP going that low...
  • The Greater Good
    Well of course they are. You think Apple could produce anything themselves? Everything they sell has been built by everyone BUT Apple.
  • Blessedman
    Ummm so does any computer manufacturer. Asus & HP being two exceptions I can think of (I am sure there are others, but not the norm). Unless Apple can keep their innovative streak alive, I see them being forced to become a software development house with some strong IP's. I can't see the iPhone becoming top dog again (without the amazing innovations [not just iterations]) unless they open up their iOS to other vendors to survive.