South Korean company Samsung Electronics is set to produce cutting-edge chips for Apple at its plant in Texas, USA.

This was reported by Yonhap.

Apple announced that it is collaborating with Samsung at its semiconductor manufacturing facility in Austin to develop an innovative chip production technology, which is being implemented for the first time globally.

«By launching this technology in the USA, the plant will supply chips that enhance the power and performance of Apple products, including iPhones distributed worldwide,» the iPhone manufacturer stated.

Industry experts believe that the chip will likely be a CMOS image sensor intended for the next generation of iPhones.

Previously, Apple sourced all its image sensors from Japan's Sony Group Corp., which accounted for over half of the market last year.

Samsung Electronics was the second-largest player with a 15.4% share of the global market.

Samsung declined to confirm any details.