Apple uses in the new generation of smartphones iPhone LTE modems from Intel and not Qualcomm. This reports the WSJ, citing people familiar with the matter.
According to the publication, Intel supplies a “substantial part” of LTE chips for iPhone 7. On its share will have 40% to 50% of the order. The remainder went to the chip maker Qualcomm. Despite the fact that Apple wants to reduce its dependence on the latter, she did not completely abandon cooperation with the manufacturer.
Cooperation with Apple is the first big win for losing mobile Intel chips, says Stacey Rasgon of Sanford C. Bernstein. It is estimated that Qualcomm receives $15 from each iPhone, which reached a total of $3.47 billion in fiscal year 2015.
In October 2015, it became known that Intel, wanting to get Apple’s order for production of LTE chips has formed a team of more than 1,000 of its employees. They developed the latest LTE modem for the iPhone.
Apple, like other smartphone manufacturers, has an interest in working with at least two suppliers for key components, said Timothy Arcuri, analyst at Cowen&Co. In addition to providing a backup supply in case of production problems, the cooperation with the two suppliers will increase the competitive advantage of the new iPhone.
Earlier, Bloomberg reported that Intel chips will be used for the iPhone sold in the us AT&T network, as well as in some versions of the smartphone for overseas markets. Smartphones for Verizon Communications will continue to use chips from Qualcomm.
In China, according to sources, the iPhone will be sold with chips from Qualcomm.