Apple is in talks with Intel to buy a crucial part of the tech manufacturer’s struggling modem business, according to fresh reports. If the deal goes through, Apple would acquire the German unit which houses the chip maker Infineon. This would give Apple access to hundreds of modem engineers – a huge step forward in the quest for the first 5G iPhone.
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In April, Intel publicly announced that it planned to exit the 5G modem business, the company being unable to see profit in that part of the business’ future. At the time, it seemed as though Apple – who had initially been relying on Intel to supply its 5G modem – would be forced to work with Huawei or to make peace with Qualcomm if it wanted to introduce a 5G iPhone any time soon.
However, if this deal goes through Apple could acquire the means to develop a 5G modem internally – a promising step forward for the iPhone 5G though it could be years before we see the outcome in the market.
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‘We have hired outside advisors to help us assess strategic options for our wireless 5G phone business’, wrote a spokesman for Intel in a recent statement. ‘We have created value both in our portfolio of wireless modem products and in our intellectual property. We have received significant interest in the business but have nothing more to say at this time’. (via The Information)
Talks between Apple and Intel have been reported since last summer, but there is still no guarantee that they will go through.
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