iPhone component production tends to be a big money-maker for Samsung and it has been reported Samsung may have lost a key iPhone 7 component manufacturing deal. HSBC reports TSMC will be the only company making the A10 chip for the iPhone 7, leaving Samsung with none of that business.

This past year, Samsung and TSMC both had contracts for the A9 chips used in Apple's iPhones, but Apple has been moving further away from Samsung.

Apple is also expected to be the first TSMC customer to use integrated fan-out (InFO) technology that can reduce the thickness and weight of chips and therefore the size of the iPhone.

With the entire A10 business, TSMC could make $2.2 billion to $2.5 billion in revenue.