Intel becomes Apple's exclusive mobile modem provider for next-generation iPhones, CFO of Qualcomm announced on Wednesday.
Mockups of Apple 2018 iPhones.
"We believe that Apple intends to use only the competitor's modems instead of our modems in the next iPhone release," said George Davis in a conference call. Apple's only other modem provider in recent years has been Intel, which arrived in 2016, and supplied components for GSM versions of iPhone 7 and other newer iPhone models.
Losing Apple as a Client, if only temporarily, could handle a serious financial blow. The iPhone is, of course, one of the most popular smartphone brands in the world, often leading in key markets.
Several reports have suggested that Apple is coming Intel only thanks to the latter XMM7560 chip that supports both the GSM and CDMA bearer networks. The modem is now mass production for 2018 iPhones, but until now it was uncertain whether any phones would still use Qualcomm parts.
Apple has a strong incentive for digging Qualcomm, as the two companies are engaged in a global legal battle against patents and royalties. Apple started the January 2017 war with a $ 1 billion lawsuit, claiming that Qualcomm abuses its "monopoly power" to demand high royalties and force chip buyers to license patents. The chipmaker counteracted in April, and the couple has since filed several complaints in domestic and international courts, also in other Apple vendors.
Until 2016, Apple was locked in an exclusive event, but before XMM7560, the technical superiority of Qualcomm's modems was another factor that prevented the company from switching to Intel. On top of wider network support, Qualcomm chips have been faster, to the point that Apple dropped them to prevent large holes with Intel-based hardware.
This fall, three new iPhone models will be featured: 5.8 and 6.5-inch OLED devices, and a 6.1-inch LCD device. The LCD may potentially send later than its counterparts.