Apple (AAPL) has been hard at work making their own chips to place in their products. In the past, for those not in the know, Apple was actually working with Intel (INTC), who used to be the world’s leading processor supplier between 2005 and 2014.

According to reporters, Apple actually made their own chips before outsourcing to Intel, which is interesting. The problem came in when Intel didn’t want to partner to create chips for the iPhone. Intel argued that the iPhone wouldn’t create enough profit for them.

Well, I’m guessing we all know by now Intel was very, very wrong about the iPhone. With the iPhone being a huge and continuous success, Intel missed out on a great opportunity to partner with a company like Apple for the long term. Plus, now Apple is a direct competitor. According to an article on Apple Insider, Apple’s latest chips “passed up the rest of the Application Processor industry.” Now everyone is going to be watching Apple to try to understand how to develop the best and fastest chips.

So what does this mean for the future of Apple? Well, for one, Apple will be able to keep much more of their profits by creating their own powerful chips in house. Instead of paying other companies for their work, they can rely on their own talented teams to build their products.

Secondly, Apple will not have to wait on other companies to develop technology. They can work on their own timeline and not waste valuable minutes by engaging in negotiations with other companies trying to come up with fair prices to utilize their products.

Lastly, creating chips that will be leaders in the industry will once again reinforce Apple’s strength in the technology space. If anyone had any doubts about Apple losing its touch or running out of creative ideas, these recent news articles show that Apple works on numerous different types of technology at one time. They aren’t simply about creating the next iPad. They are building their company in a variety of unique ways.

Thus, when it comes to Apple stock, I personally will be holding on to mine tightly and watching it closely for signs of a drop so I can by some more. I don’t like to give direct advice to buy certain stocks (talk to your financial advisor about that) but I think we can all agree that Apple has proven itself as a strong company and a serious player in a very competitive market place.

It really is Intel’s loss that they won’t be working with Apple in the future. In fact, I’m very interested to see how Intel as a company will do in 2015 since they certainly will need to recruit new talent to keep up with the ever-changing technological landscape.

What do you think about Apple developing its own chips? How do you think that will affect Apple stock this year?