Apple has recently decided to abandon processors purchased from other manufacturers and replace them with its own proprietary M1 chip. One of the benefits of this change can be significant savings for the company.

Sumit Gupta, IBM's Vice President of Artificial Intelligence, recently shared his thoughts on the M1 chip on a private blog. In his opinion, the main factor that prompted Apple to develop its own processors were financial issues. According to his (not very accurate) estimates, it costs Apple between $40 and $50 to produce the M1 chip, while the company has paid between $175 and $250 for its previous Intel processors. So switching to its own technology could mean a saving of $2.5 billion a year.

Gupta also believes that the introduction of M1-based computers could encourage other manufacturers to follow Apple's lead and use ARM-based processors in laptops, which in turn will help companies such as Qualcomm.

Source: Sumit Gupta