iPhone 5S on the way

Apple seeking to secure its supply chain

Apple’s supply chain has been in doubt for a while and its flagship phone chipsets are usually a major stumbling block during the manufacturing. Apple is reported to be in talks to buy control of a Japanese venture that makes key semiconductors for its iPhone screens.

Reports say that talks on what would be a rare acquisition in Japan for the U.S. technology giant emerge as Apple is under pressure to produce bigger screen phones and less battery-draining screens. That makes the advanced chips made by the Renesas Electronics Corp division all the more valuable in future.

Renesas, a loss-making Japanese chipmaker that is restructuring to focus on its core auto business, is also in talks with other companies on selling its 55 percent stake in the chip division, known as Renesas SP Driver, people familiar with the matter said on Wednesday. The people did not name the other companies, nor indicate the current status of the talks.