Apple is preparing to launch its long-awaited series of cellular modem chips next year, which will replace components from longtime partner Qualcomm. The iPhone maker is looking to ultimately overtake Qualcomm's technology by 2027. Qualcomm has already warned investors that Apple will eventually stop using its chips. The chip designer has a deal to keep selling chips to Apple until at least 2026.
Qualcomm investors are keen to see if the company’s push into laptops and AI-powered data centers can accelerate quickly enough to compensate for potential drops in revenue from Apple.
Apple's new chip is set to feature in the iPhone SE, the company's entry-level smartphone. The phone is scheduled for its first update since 2022 next year, and will be followed by further generations of increasingly advanced chips.
The iPhone maker has been working on its own modem technology and spent $1 billion to buy Intel's modem unit in 2019. In early 2019, it was reported that Apple moved its modem engineering efforts into the same chip design unit that makes the custom processors for its devices, signaling a doubling down on the pursuit of self-designed modem chip.
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