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To Squeeze more profits out of the iPhone, Apple plans to replace chips now supplied by Broadcom and Qualcomm over the next several years

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It's being reported this afternoon that Apple Inc.’s push to replace the chips inside its devices with homegrown components will include dropping a key Broadcom Inc. part in 2025, according to people familiar with the situation, dealing a blow to one of its biggest suppliers.

According to Bloomberg's Mark Gurman, Apple is developing an in-house replacement for a chip currently supplied by Broadcom that should be ready by some time in 2025. The chipmaker currently supplies Apple with a combined component that handles both Wi-Fi and Bluetooth functions on Apple devices.

In addition, it’s already working on a follow-up version that will combine cellular modem, Wi-Fi and Bluetooth capabilities into a single component.

With the shift away from Qualcomm modems, Apple plans to initially just use its homegrown component in one new product, such as a high-end iPhone model. It will then gradually move away from Qualcomm modems during a period it anticipates will take about three years — similar to how it handled past transitions.

For more, read the full Bloomberg report.

10.0F0B - Rumors


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