Although currently using modems from Qualcomm on their iPhones, the Apple is returning its own modem. According to Bloomberg, the Cupertino company has plans to become independent in the production of items in the long term.
A Apple currently has a 6-year contract signed with Qualcomm to use the company's modem in the iPhone. Thus, it is expected that the Cupertino giant will continue to outsource the technology in its smartphones at least until 2025.
the investment of Apple in the area it is not new, last year it bought Intel's 5G modem division. Despite this, this is the first time the company has confirmed that it plans to use its own technology in its devices.
“This year, we began development of our first in-house cellular modem that will enable another important strategic transition. Long-term strategic investments like these are a critical part of enabling our products and ensuring we have a rich pipeline of innovative technologies for our future,” said Senior Vice President of Hardware Technologies at Apple, Johny Srouji, employees in a meeting.
Old partnership
Currently the partnership with Apple is responsible for 11% of Qualcomm's annual revenue and, even without official confirmation, the information released by Bloomberg caused Qualcomm's shares to fall almost 5% after the NASDAQ close.
It's been a while since Apple plans to no longer rely on third-party companies for core technologies in its devices. The manufacturer has already launched their own chips and processors for iPhone, Mac and Apple Watch.
Within this strategy, the production of our own modems is essential for the Apple, since these items are basically responsible for connecting devices to the internet, making calls and sending SMS messages. In this sense, the purchase of the Intel division proved to be crucial. It remains to be seen when the new modems will be launched, but as we said at the beginning of the post, this will still take many years.
Through which channels you reach those people, classic and out of the box. Bloomberg