Apple's Acquisition of Intel's Smartphone Modem Business Completed, Intel Admits 'Multi-Billion Dollar Loss'
Intel today announced it has completed the sale of the majority of its smartphone modem business to Apple for $1 billion following regulatory approval. The transaction was first announced in July and includes intellectual property, equipment, and approximately 2,200 Intel employees joining Apple.
The deal sees Apple acquire a large portfolio of wireless patents from Intel. Apple now holds over 17,000 wireless technology patents, ranging from protocols for cellular standards to modem architecture and modem operation.
Intel will retain the ability to develop modems for non-smartphone applications, such as PCs, internet-of-things devices, and autonomous vehicles.
Last week, Intel admitted that it sold its smartphone modem business to Apple at "a multi-billion dollar loss," according to court documents unearthed by Reuters. Intel added that rival chipmaker Qualcomm's patent licensing practices "strangled competition" and effectively forced it to exit the market.
Apple is expected to use Qualcomm modems for its first 5G-enabled iPhones next year, as part of a six-year licensing agreement between the companies. Farther down the road, multiple reports have claimed that Apple plans to develop its own modems for iPhones by 2022-23, and this Intel deal would certainly help those efforts.
Popular Stories
While past rumors have indicated the upcoming second-generation AirPods Pro will feature a built-in heart rate and body temperature sensor, Bloomberg's Mark Gurman has cast doubt on those rumors turning out to be true, saying instead such a feature is unlikely to come anytime soon.
"Over the past few months, there have been rumors about this year's model gaining the ability to determine a...
Apple is working on an Apple Watch Series 8 model with a larger display, according to DSCC's Ross Young and Haitong International Securities's Jeff Pu.
In October last year, Young suggested that the Apple Watch Series 8 could come in three display sizes. Now, responding to a query about the rumor on Twitter, Young claims that the additional display size joining the Apple Watch lineup will be ...
The upcoming launch of Apple's redesigned MacBook Air with the M2 chip has some Windows laptop manufacturers "worried" that sales of Intel-based laptops will be negatively affected, according to industry sources cited by DigiTimes.
"A Wintel brand vendor pointed out that at a price point of US$1,000-$1,500, the MacBook Air will crowd out other high-end notebooks," the report claims, with...
European Union lawmakers have approved landmark legislation to heavily regulate Apple, Google, Meta, and other big tech firms.
The Digital Markets Act (DMA) and Digital Services Act (DSA) were proposed by the European Commission in December 2020. Now, collected in a "Digital Services Package," the legislation has been formally adopted by the European Parliament and seeks to address...
Apple today announced that the new MacBook Air equipped with the M2 chip will be available to order starting Friday, July 8 at 5 a.m. Pacific Time. Apple said deliveries to customers and in-store availability will begin Friday, July 15.
MacRumors exclusively reported that Apple planned to launch the new MacBook Air on July 15, and the date has now been confirmed by Apple. Customers will be...
The M2 MacBook Pro has started making its way into customers' hands and we're learning more about how it performs in a variety of situations, but all eyes are really on the upcoming M2 MacBook Air which has seen a complete redesign and should be arriving in a couple of weeks.
Other top stories this week included a host of product rumors including additional M2 and even M3 Macs, an updated...
Apple today announced a new Lockdown Mode coming to the iPhone, iPad, and Mac with iOS 16, iPadOS 16, and macOS Ventura. Apple says the optional security feature is designed to protect the "very small number" of users who may be at risk of "highly targeted cyberattacks" from private companies developing state-sponsored spyware, such as journalists, activists, and government employees.
Apple...
Apple today released new firmware for the Siri Remote designed for the Apple TV, updating the software from version 9M6772 to 10M1103. The software is for the redesigned Siri Remote that was released in May 2021, aka the gray remote with the updated interface. In the Apple TV settings, the new firmware will display as 0x0070, up from 0x0061. There is no word on what's new with the Apple TV...
Top Rated Comments
The real question, though, is if it's really worth it for Apple to be in the modem business at all. That business relies on economies of scale and a lot of engineering and wireless expertise.
I'd guess the goal is to do what it did with Bluetooth and the W1, making the modem low-power. Radios are a big power draw, and I doubt Qualcomm or Intel were willing to make a power/performance tradeoff. At some point that could become yet another competitive advantage for Apple.
I mean, they could probably save a bunch of power just by optimizing the modem's software stack. Most of those modems are driven using the Hayes AT command set, which means you need some kind of serial emulator. Apple could rip out that interface layer and go direct to the modem, which would make it more efficient, which should lead to better power/performance.
If they did it for BT/WiFi they should be able to do it for LTE/5G/6G and beyond.
I also think Apple designed modems will be several years out