Jan 30- During an Interview TSMC (TSM, Financial) founder Morris Chang stated the reason why Apple (AAPL, Financial) selected his company instead of Intel (INTC, Financial) as its custom chip supplier. In a recent interview with Acquired, Chang remembered a key point in 2011 when Apple seriously considered using Intel for iPhone chips. Tim Cook, who has for a long time enjoyed a strong relationship with Apple for its Mac CPUs, ended up going with TSMC. Intel just doesn't know what they're doing as a foundry,' Cook explained.

According to Chang, Cook explained the decision during a private meeting at Apple's headquarters in March 2011. Chang saw Apple's move to TSMC was because of Intel's inflexibility, and inability to meet customer's needs. Many of Intel's customers shared that frustration, and Intel always went around acting like they were the only guy for microprocessors,' Chang said. Chang said TSMC's success is tied to its ability to respond to customer demands, even the most 'crazy' or 'irrational.'

Since then, TSMC has boomed as Apple's only source of custom chips, and Intel remains hamstrung in bringing such clients. The shift in the tech landscape is often seen as a way to depict the growing gap between the two chipmakers' approaches to customer service and innovation.