Apple 'Unlikely' to Use Audience's New Noise Suppression Technology in iPhone 5

Audience today announced that it appears "unlikely" Apple will use the company's earSmart noise suppression technology in the upcoming iPhone 5. Audience's technology was reported to a key innovation providing support for Siri on the iPhone 4S, and Apple was reported back in February to have licensed Audience's next-generation technology for future products. But with today's announcement, it appears that Apple has elected not to take advantage of the technology.

Audience sells processors and licenses its processor IP to Apple Inc. and certain of its subsidiaries (collectively, OEM) for inclusion in the OEM's mobile phones pursuant to a Master Development and Supply Agreement (MDSA). Pursuant to a statement of work under the MDSA, amended in March 2012, Audience developed and licensed a new generation of processor IP for use in the OEM's devices. However, the OEM is not obligated to use Audience's processor IP.

Audience now believes that it is unlikely that the OEM will enable Audience's processor IP in its next generation mobile phone. Audience is not aware of any intended changes by this OEM to its use of Audience's processors or processor IP in prior generations of the OEM's mobile phones.

audience earsmart
Apple's decision not to use Audience's new IP in the iPhone 5 will impact Audience's financial picture beginning one quarter after the introduction of the iPhone 5, as Audience receives licensing royalties from Apple one quarter after the device's are sold to end users.

Peter Santos, president and chief executive officer, commented, "While we are disappointed by this development, we are confident in the diversification of our business and see sustainable growth in 2012 and beyond. As such we are raising guidance for the third quarter of 2012. Looking ahead, we believe our expansion into adjacent markets such as Smart TVs, automotive, and notebooks, will continue to bring growth in 2013 and beyond."

Audience delivered a standalone voice processing chip for the iPhone 4, but the company's technology was reportedly incorporated directly into the A5 chip used to power the iPhone 4S. The improved Audience technology integrated into the A5 was said to be much better at suppressing background noise, thus allowing Siri to more easily pick out the user's voice.

It is unclear what voice processing technology Apple will be using in the iPhone 5, but it seems that the company has found a better or more cost-effective solution than that offered by Audience.

Update: Audience's stock is down over 40% in after-hours trading following the announcement.

Related Forum: iPhone

Popular Stories

iPhone 17 Pro Dual Tone Feature 1

iPhone 17 Pro Launching Later This Year With These 8 New Features

Thursday January 9, 2025 5:45 am PST by
While the iPhone 17 Pro and iPhone 17 Pro Max are not expected to launch until September, there are already plenty of rumors about the devices. iPhone 17 Pro concept based on rumors Below, we recap key changes rumored for the iPhone 17 Pro models as of January 2025: More aluminum: iPhone 17 Pro models are rumored to have an aluminum frame, whereas the iPhone 15 Pro and iPhone 16 Pro models ...
airpods pro 2 botw

Hearing a Mysterious Chime From Your AirPods Pro Case? It's a Feature

Thursday January 9, 2025 3:42 pm PST by
If you've been hearing a chiming sound from your AirPods Pro 2 case when the AirPods are charging, it's a feature that Apple added with the launch of Hearing Health last year. In a support guide, Apple says that the AirPods Pro may play a sound every so often while in the case to ensure the microphones and speakers are working as intended. From Apple: To help ensure that your AirPods...
HomePod mini and Apple TV

New Apple TV and HomePod Mini Launching This Year With One Thing in Common

Wednesday January 8, 2025 6:18 am PST by
It was recently reported that new Apple TV and new HomePod mini models will launch this year, and the devices are expected to have one thing in common. Bloomberg's Mark Gurman last month reported that the new Apple TV and the new HomePod mini will be equipped with Apple's own combined Wi-Fi and Bluetooth chip. Gurman said the chip supports Wi-Fi 6E, so that could end up being a key upgrade...
M6 MacBook Pro Feature 1

5 Reasons to Wait for Next Year's MacBook Pro

Wednesday January 8, 2025 6:33 am PST by
Apple in October 2024 overhauled its 14-inch and 16-inch MacBook Pro models, adding M4, M4 Pro, and M4 Max chips, Thunderbolt 5 ports on higher-end models, display changes, and more. That's quite a lot of updates in one go, but if you think this means a further major refresh for the MacBook Pro is now several years away, think again. Bloomberg's Mark Gurman has said he expects only a small...
iPhone 17 Pro Dual Tone Horizontal 1

iPhone 17 Pro Main Camera Sensor 'Smaller' Than iPhone 16 Pro Sensor

Friday January 10, 2025 3:14 am PST by
This year's iPhone 17 Pro models will feature a smaller main camera sensor than the one used in the Fusion camera currently found in iPhone 16 Pro models, according to Weibo-based leaker Digital Chat Station. The Chinese leaker claims that Apple will adopt a 1/1.3" sensor for the 48MP main camera in the iPhone 17 Pro and iPhone 17 Pro Max, down from the 1/1.28" sensor used in the iPhone 16...
iPhone SE 4 Thumb 1

New iPhone SE and iPad 11 Launch Timing Allegedly Revealed by Leaker

Tuesday January 7, 2025 11:12 am PST by
A new iPhone SE and an iPad 11 might be coming very soon. In late December, a private account on X with a track record of leaking accurate iOS-related information said devices codenamed "V59" and "J481" will be released alongside iOS 18.3 and iPadOS 18.3. Bloomberg's Mark Gurman has previously reported that "V59" is a new iPhone SE, and that "J481" is a new entry-level iPad. iOS 15.3, iOS ...
se 4 for 2025

When to Expect the iPhone SE 4 or So-Called 'iPhone 16E' to Launch

Friday January 10, 2025 9:20 am PST by
Apple is widely rumored to be planning a new iPhone SE, and multiple sources lately have commented on the device's launch timing. The latest word comes from Apple supply chain analyst Ming-Chi Kuo. In a blog post today, he said the device will be released around the middle of the first half of 2025. In other words, around the quarter mark of 2025. That means the next iPhone SE will likely be ...
airpods 4 blue

Apple's Student Offer With Free AirPods Returns in These Four Countries

Thursday January 9, 2025 7:18 am PST by
Apple's annual "Back to School" or "Back to Uni" promotion has returned this week in Australia, New Zealand, Brazil, and South Korea. From January 8 through March 13, qualifying higher-education students and staff in these countries can receive free AirPods 4 with Active Noise Cancellation with the purchase of any new MacBook Air, MacBook Pro, or iMac, or a free Apple Pencil Pro or Apple...

Top Rated Comments

Cougarcat Avatar
161 months ago
I'm not sure this is front page material..

It's more front page material than "Tim Cook and Jony Ive Top Vanity Fair's 'The New Establishment' List" and the Laurene Powell Jobs stories.
Score: 33 Votes (Like | Disagree)
Yujenisis Avatar
161 months ago

Ugh, with a pun that bad…can you blame Apple? :D
Score: 22 Votes (Like | Disagree)
twiggy0 Avatar
161 months ago
Down 40%? Ouch.
Score: 17 Votes (Like | Disagree)
LagunaSol Avatar
161 months ago
I must say, it seems Apple are often reluctant to include latest technologies in their devices. For example, the Nokia Lumia 920 announced this week has wireless charging. Apple have said they're not including NFC payments with the iPhone 5 and now this noise thing. I know Apple are often about coming up with their own technologies, but other phones will be more up to date than the iPhone 5 even before it comes out.

Apple have never been ones to check items off a spec sheet. Sometimes technologies that have not yet fully-ripened or if the usage demand is not there, they may not make the cut. It has nothing to do with being "up to date."

Wireless charging is not as compelling a feature as you may think. The Palm Pre had it - no one cared.

NFC, maybe.

If Apple included a built-in comb on the next iPhone, would that make all Android devices "out of date?" ;)
Score: 12 Votes (Like | Disagree)
WildCowboy Avatar
161 months ago
I'm not sure this is front page material..

It's pretty darn rare for an Apple partner to speak publicly about an unannounced product, even to say their stuff won't be used.
Score: 11 Votes (Like | Disagree)
3282868 Avatar
161 months ago
Translation:

"Apple bought rights to the company, secured it's IP, then decided against using it in their mobile device line, thereby screwing said company. Due to Apple's 'arrangements', said company may not use this IP in other mobile devices, but may venture into other device markets. Company's stock dove after announcement."

Good job Apple. Buy out tech, keep it, don't use it, sink it. Rinse. Repeat.
Score: 9 Votes (Like | Disagree)