Samsung will reportedly manufacture A9 processors for future iPhones

The mobile space is a messy and complicated business. Companies that compete often also collaborate and cooperate.

A dramatic example of that phenomenon surfaced today with a report from South Korea’s Maeil Business Newspaper that Samsung will manufacture the A9 processors that power future iPhones. Re/code says it spoke to sources confirming the story.

Hoping to reduce dependance on its biggest rival, Apple had Taiwan Semiconductor Manufacturing Co. (TSMC)  manufacture many of the A8 chips that went into iPhone 6 phones.

But Samsung reportedly has a superior chip manufacturing process to Taiwan Semiconductor Manufacturing Co., so Apple has been moved to ask Samsung to manufacture more chips for its iOS devices.

However, Apple has been very mindful to not rely too much on any one supplier for any part of its devices. (At least it should have learned its lesson with the sapphire screen debacle.) This sort of arrangement can lead to unacceptable risk, and too much bargaining power for the supplier.

Here the case is even worse because Apple competes in all major markets with Samsung products in all its big money product categories.

It’s very hard to believe, as the report today suggests, that Samsung will manufacture all of the A9 chips in the next generations of Apple phones and tablets.

Neither Apple nor Samsung would comment on the story.

Re/code points out that Samsung has spent a staggering amount of money — think $21.4 billion — in the past year to increase the capacity of its semiconductor and display business, and expects to spend even more in 2015.

One of the outgrowths of that development is news that Samsung will provide its own processors for its hotly anticipated new Galaxy S6 phone, which will likely be announced at Mobile World Congress on March 1.

The Samsung chips would displace the Qualcomm-designed and TSMC-manufactured Snapdragon 810 chips used in earlier Samsung phones.