Apple might let the big dog eat to purchase up Intel’s deserted cell phone modem business for $1 billion, with The Wall Street Journal revealing today that a deal could be reported as early as one week from now.
Intel reported back in April it was leaving the 5G mobile modem business recently after Apple achieved an unexpected settlement with Qualcomm that would see Apple indeed come back to utilizing Qualcomm’s modems in its phones. Intel CEO Bob Swan proceeded to explain that Intel had surrendered the modem business directly due to the Apple settlement — without Apple as a client, the organization concluded that it “just didn’t see a path” forward.
As indicated by a report from Bloomberg at the time, Apple supposedly decided Intel couldn’t give a 5G modem the iPhone in a time period that worked with its plans to release 5G-ready cell phones, constraining Apple to accommodate with Qualcomm after years of contentious legal questions. Presently, a deal for Apple to obtain that part of Intel’s business, covering a portfolio of patents and staff esteemed at $1 at least billion, could be come to in the next week, sources tell the WSJ.
After the Apple/Qualcomm deal, Intel supposedly started searching for a purchaser for its modem business. What’s more, Apple, it turns out, makes a lot of sense as a purchaser. Preceding Apple and Qualcomm settling, Intel became the sole third-party modem supplier for the 2018 models of the iPhone. Furthermore, Apple has for quite some time been Intel’s just significant client for modems — about each other major Android phone depends on either Qualcomm or in-house solutions.
While Apple has a new deal with Qualcomm, the broadly controlling technology organization was at that point allegedly working on developing its own, in-house modems, like its current internal CPU platform that has brought about the iPhone and iPad’s proprietary A-series chipsets. Adding Intel’s portfolio and experience to the procedure — experience that incorporates existing work on 5G chips for iPhones — would likely just accelerate that procedure and enable Apple to work independent of a third party for its modems at some point in the future.