Apple Suppliers Are Reportedly Engaged In Competition With One Another, Wanting To Secure In-House 5G Modem Orders

Apple reportedly has plans to introduce its first 5G modem, starting with the iPhones in 2024, and suppliers are racing against one another to ensure that they are the first to receive orders for its final packaging. Seeing as how the technology giant will eventually rid itself of Qualcomm and its modems, all the while selling iPhones in droves, this is a rare opportunity for these suppliers to partner up with Apple and secure some hefty paydays in the future.

The two suppliers wanting to receive Apple’s custom 5G modem orders already have experience with Qualcomm’s chips, making either of them the ideal candidate

A paywalled report published by DigiTimes and spotted by MacRumors talks about two suppliers, ASE Technology and Amkor Technology, who are supposedly fighting to get custom 5G modem orders from Apple. This kind of competition stands to benefit Apple, as it can then negotiate better pricing for its in-house component. As for TSMC, the chip giant will be engaged in manufacturing the modem, while the companies mentioned above will be responsible for the final stage packaging.

According to Qualcomm CEO Cristiano Amon, Apple will start using its 5G modems from next year, beginning with the iPhone 16 lineup, though it might also be found in the low-cost iPhone SE 4. It is possible both companies continue to do business with one another. We say this because currently, and even after a few years, Apple cannot completely nullify its business relationship with Qualcomm. The latter continues to be the leading behemoth in baseband chips and possesses the intricate knowledge and resources necessary to develop more advanced chips.

Apple’s ultimate goal is to create a single package that houses the Wi-Fi chip, cellular and Bluetooth connectivity. In addition to Qualcomm, Apple intends to reduce dependency on the likes of Broadcom, though, as you can tell, this plan will require several years to reach completion. The advantage of bringing its own 5G modem to the table will revolve around better integration with iPhones and future products, meaning improved software control and, as a result, improved battery life.

Heading down this path can also reduce manufacturing costs for Apple, though we do not have any word on how it will perform. However, looking at the company’s A-series and M-series of custom SoCs, we can all agree that the firm will do whatever it can to create the best connectivity chip possible, possibly even making Qualcomm look bad.

The post Apple Suppliers Are Reportedly Engaged In Competition With One Another, Wanting To Secure In-House 5G Modem Orders by Omar Sohail appeared first on Wccftech.