9to5Mac Daily

iOS 26.5 RC, Apple chip partners

8 min
May 5, 202629 days ago
Listen to Episode
Summary

Apple is preparing iOS 27 with a new Wallet pass creation feature allowing users to digitize QR codes, while iOS 26.5 RC adds RCS end-to-end encryption support. Additionally, Apple is in early-stage talks with Intel and Samsung to diversify chip manufacturing away from its heavy reliance on TSMC.

Insights
  • Apple is addressing a long-standing gap in iPhone functionality by enabling users to create custom digital passes from QR codes, a feature Android offered years ago
  • RCS end-to-end encryption represents Apple's continued effort to improve cross-platform messaging security with Android devices
  • Apple's exploration of alternative chip manufacturers signals concern about supply chain concentration risk in Taiwan amid geopolitical tensions and AI-driven component competition
  • The preliminary nature of Samsung and Intel talks suggests Apple prioritizes TSMC's superior capabilities but seeks negotiating leverage and supply chain redundancy
  • Apple Maps' suggested places feature is a precursor to monetization through advertising, expanding Apple's services revenue opportunities
Trends
Smartphone manufacturers diversifying semiconductor supply chains beyond single-source dependenciesCross-platform messaging security becoming a competitive feature between iOS and Android ecosystemsDigital wallet and pass management consolidation as core smartphone functionalityAI and emerging technologies creating unprecedented demand for advanced chip manufacturing capacityApple's shift toward services monetization through Maps advertising and other featuresGeopolitical supply chain risk management becoming strategic priority for tech giantsThird-party app functionality being absorbed into native OS features (pass creation, RCS encryption)
Topics
iOS 27 Wallet Pass Creation FeatureRCS End-to-End Encryption in iOS 26.5Apple Chip Manufacturing DiversificationTSMC Supply Chain DependencyIntel Foundry Services Partnership TalksSamsung Advanced Chip Manufacturing in TexasApple Maps Advertising StrategyCross-Platform Messaging SecurityiPhone Supply Chain DisruptionsDigital Pass ManagementPride Wallpaper Dynamic DesignApple Maps Suggested Places FeatureSemiconductor Manufacturing CapacityTaiwan Geopolitical RiskApple Services Revenue Expansion
Companies
Apple
Primary subject; releasing iOS 26.5 RC and exploring iOS 27 features, plus diversifying chip manufacturing partnerships
TSMC
Apple's primary chip manufacturer for over a decade; Apple exploring alternatives to reduce dependency on Taiwan-base...
Intel
In early-stage talks with Apple to provide chip-making services as part of Apple's supply chain diversification efforts
Samsung
Apple executives visiting Samsung's Texas chip manufacturing plant under development as part of diversification strategy
Bloomberg
Source of reporting on iOS 27 Wallet feature, iOS 26.5 details, and Apple's chip manufacturing partnership discussions
Google
Android platform referenced as having offered similar pass creation feature to Apple's new iOS 27 capability
People
Chance Miller
Host of 9to5Mac Daily podcast episode covering Apple news and industry developments
Quotes
"It's an overdue feature for the wallet app. There have been third-party apps that have aimed to accomplish this with varying degrees of success for years"
Chance Miller~2:30
"Apple prefers to have at least two suppliers for any major component, giving it leverage in pricing negotiations and protection from supplier disruptions"
Chance Miller~15:00
"Apple has concerns about using non-TSMC technology and may not ultimately move forward with another partner"
Chance Miller~13:30
Full Transcript
Welcome to 9to5MacDaily for Tuesday, May 5th, 2026. I'm your host, Chance Miller. We are sponsored this week by Bitwarden. Leading off today, iOS 27 is again rumored to include a useful new feature for the Wallet app. Bloomberg reports that the update will add a Create a Pass feature, allowing users to convert physical passes to digital ones that they can store on their iPhone. The report explains that the capability is designed for situations like a gym or a concert app providing a QR code for entry, but that QR code doesn't support the wallet app. So with this new tool in iOS 27, users can import that code and create their own pass. The new feature will reportedly be accessible via the plus button in the wallet app located in the upper right corner. That's the same place where you currently add new credit cards. Bloomberg says users can create a pass from scratch or rely on the iPhone's camera to take a QR code and turn it into a digital ticket. The feature includes customization tools for styles, images, colors, and text fields, allowing users to tailor the information displayed on each pass. Apple is testing three template options, Standard, Membership, and Event. Standard, which will be orange, is a default option for any type of pass, while membership, which is blue, is geared towards entering places like gyms or buildings. The event pass, which is purple, is meant for tickets to games, movies, and other occasions. It's an overdue feature for the wallet app. There have been third-party apps that have aimed to accomplish this with varying degrees of success for years, and a similar version of this feature came to Android a couple years ago. But now Apple is getting on board with iOS 27 which is set to be announced in a month at WWDC on June 8th Next up today Apple has released the final iOS 26 beta that the RC build to developers and they've also shared the official release notes for the first time. First, Apple confirms that iOS 26.5 adds end-to-end encryption support for RCS messaging in the Messages app with supported carriers. This is something that Apple has been beta testing for several months at this point. Once updated to iOS 26.5, users can manage this option in the Settings app under Messages, then RCS Messaging, where there's a new end-to-end encryption toggle. This is enabled by default, and it means that your messages sent to Android users will be end-to-end encrypted. However, availability will vary based on what Android phone the other person is using, what carrier they have, and which version of software they're running. If the conversation is encrypted, you'll see a lock icon at the top of the thread. This lock icon will also appear for iMessage conversations, which has been end-to-end encrypted since 2011. The release notes also say that iOS 26.5 adds the new Pride wallpaper that we talked about yesterday, which dynamically refracts a spectrum of colors. You can actually choose from over a dozen different design options for this wallpaper. And finally, Apple says the update adds suggested places and maps, which displays recommendations based on what's trending nearby and based on your recent searches. This, of course, is a precursor to ads coming to Apple Maps, which is expected sometime in the summer. Now that the final beta of iOS 26.5 has been released, we expect a release to everyone sometime as soon as next week. We are sponsored this week by Bitwarden You can get started with the Bitwarden Password Manager including a free plan with unlimited passwords by hitting the link in the show notes or going to bitwarden Bitwarden helps you generate and store strong, unique passwords and passkeys across all of your devices so you're not reusing the same login everywhere. It also keeps things simple with autofill for passwords, cards, and identities, plus vault health records to flag weak or compromised passwords. With end-to-end encryption and built-in protection against phishing and data breaches, Bitwarden is trusted by over 10 million users and 50,000 businesses worldwide. And with World Password Day taking place this week, it's a great reminder to make sure your passwords are actually protecting you. Hit the link in the show notes or head to bitwarden.com to get started today. Running out today, a new report from Bloomberg says that Apple has been exploring early-stage talks with Intel and Samsung to help diversify production of its core device processors beyond TSMC. The report explains that Apple has had early-stage talks with Intel to enlist the company's chip-making services, while Apple executives have also made visits to a Samsung plant under development in Texas that will also make advanced chips. Neither effort has resulted in any order so far, and the work with both suppliers remains preliminary, according to the story. Apple has concerns about using non-TSMC technology and may not ultimately move forward with another partner. The backstory here is that for more than a decade, Apple has designed the main processors, known as systems on a chip, that power its devices, and it's relied on TSMC to build them using the most advanced production processes in Taiwan. Apple is also continuing to battle supply chain disruptions affecting availability of the iPhone and the Mac Bloomberg says that discussions with both Samsung and Intel started before this latest round of shortages took hold But still, diversifying its chip-making supply chain has been a priority for Apple in recent years. Apple prefers to have at least two suppliers for any major component, giving it leverage in pricing negotiations and protection from supplier disruptions. If Apple does indeed turn to Samsung and or Intel to help manufacture its chips, it does not mean those companies would actually design the chips. Apple designs its chips in-house, then turns to third parties to help manufacture those chip designs. It works very closely with TSMC throughout the design and fabrication process, so it would need to develop a similar working relationship with either Samsung or Intel. Bloomberg even says that right now, Intel and Samsung can't reliably offer the type of production and scale that's turned TSMC into the dominant made-to-order chip manufacturers and one of Apple's most critical supply chain partners. So again, these talks between Apple and Samsung and Intel are in the very early preliminary stages, and it's unclear if anything will actually materialize. But still, it's clear that Apple is concerned about having all of its chip production tied to one company located predominantly in Taiwan, especially as it starts to face supply shortages and increased competition for components from AI companies and others. that wraps up another episode of 9to5Mac Daily as always you can find all of the latest Apple news on 9to5Mac.com follow along with me on threads at Chance H. Miller and we'll be back tomorrow for a new episode of 9to5Mac Daily