After a longstanding toxic relationship between Apple and Qualcomm, the iPhone maker has partnered with Intel for smartphone chips and modems on their 2018 mobile lineup. Now Qualcomm claims that Apple has shared proprietary codes with Intel causing property damage to the company.
Apple’s new generation of iPhones, scheduled to be released in 2018, will come with Intel processors and chips. The move could consolidate a new business relationship between these two powerhouses. Apple has a story of relying heavily on exclusive suppliers, and Intel just might join the list with their cutting-edge mobile offers.
However, Apple has stated very little regarding chips and processors, and their main answer has been that there is “not much” to be expected following the whole chip buzz, stating that the new generation of phones will feature a faster LTE, regardless of the provider being Intel or Qualcomm.
Apple reportedly picks Intel as sole iPhone modem maker, Qualcomm stock drops https://t.co/eSKkRLOaiQ
— VentureBeat (@VentureBeat) February 6, 2018
Where does Apple stand on the issue of mobile chips?
For Apple, pushing Qualcomm aside could mean a calmer legal agenda, seeing the past between these two companies, the last major lawsuit involved Apple and investors slamming Qualcomm for using unethical business strategies after offering Apple money to employ Qualcomm chips and processors only while providing the Exynos 9 chip for Samsung as well. These actions were pointed out as monopolizing.
On another hand, Cupertino has been diversifying its chip suppliers catalog, as it has been forced to pressure radio frequency (RF) chip makers, Skywork Solutions Inc, and Qorvo inc in the improvement of quality since many iPhone 7 units that have been displaying service/signal issues showing the “no service” sign on the top left of the phone. In response, they offered a free repair for customers.
While the market for RF chips has been expanding towards 5G upgrades, Apple remains as more than one-third of the demanders for both Qorvo and Skywork Solutions Inc.