Johny Srouji, one of the executives of Apple, said during a meeting with employees that the company started developing their own cellular modems for future Apple devices.
Apple introduced the iPhone 12 series, the first 5G-powered smartphones, in October. For these iPhones, the 5G modem was provided by Qualcomm, but that may not be the case with future iPhones and iPads.
According to Bloomberg, Johny Srouji, Apple’s Senior Vice President of Hardware Technologies, said during a meeting with employees that Apple has started working on its own cellular modem line for its future devices.
Apple wants to reduce foreign dependency
Apple’s use of its own chipsets in the MacBook Air, MacBook Pro and Mac mini, as well as the fact that it has started working on its own cellular modem, clearly shows that the company aims to reduce its dependence on third-party vendors for the development of its products.
Johny Srouji at the meeting: “This year we started developing our first internal cellular modem that will provide another important strategic transition. Long-term strategic investments like these are a critical part of enabling our products and making sure we have a rich line of innovative technologies for our future.” gave his statements.
Following this announcement, Qualcomm’s shares declined. According to Bloomberg, Qualcomm earns about 11% of its revenue from Apple, while that of Intel is about 7%.
Bloomberg also says Apple has recruited engineers from Qualcomm for some time and has teams focused on cellular modem development in San Diego, Cupertino and Europe.
It is not certain when Apple will start using its own cellular modems. Last year, Apple and Qualcomm had a 6-year license agreement.