In a recent press release, Apple confirmed the acquisition of a majority of Intel’s smartphone modem department that has an estimated worth of about $1 billion. In the agreement, some of Intel’s employees, 2.200 in number, will join teams with Apple’s; also coming into possession with some of the modems, equipment, and designs that were used by Intel.
Some rumors were spreading yesterday that Apple was interested in acquiring some of Intel’s shares, and today we’ve got the confirmation. This might lead to better relations between the two giants, even though it hardly came as a surprise.
We knew Apple was planning something when Intel announced its departure from the 5G smartphone modem industry and that it would sell many of its licenses. Apple knew what it wanted and struck harder and quicker than thunder.
Apple Acquired Intel’s Smartphone Modems Department For $1 Billion
Even if Apple’s acquisition went through, the homemade modems won’t be starting to get manufactured for at least two years. Apple already has a six-year contract with Qualcomm, and it would be a waste of money and resources to throw that away now.
We already know Apple already has its own components on the market, that they use manufacturing their merchandise, like the A-line of processors that are among the best on the market.
By acquiring this modem business, Apple is starting to look up to the future, beginning to build their own path to the future of the 5G era. As it stands right now, this isn’t Apple’s first acquisition and it won’t be its last, acquiring more shares from many other technology companies, Apple will provide elevated user experiences in lots of cases, defining their own ideas and improving on the profit of each device they are designing.
Dorothy has been a journalist for ten years and has been working with the Tech News Watch staff since the beginning of the news site. Her main contribution to Tech News Watch are mobile, IT and science news, with a focus on software updates and great outer space discoveries.