What you need to know
- Intel confirmed the sale of its phone modem business to Apple.
- The deal has now been approved.
- Apple paid a cool $1 billion.
Intel has now confirmed the completion of a deal which sees Apple pick up its smartphone modem business. The deal is worth $1 billion and has now completed the usual regulatory approval process.
Intel Corporation today announced it has completed the sale of the majority of its smartphone modem business to Apple. This transaction, valued at $1 billion, was announced on July 25, 2019. As previously disclosed, this transaction enables Intel to focus on developing technology for 5G networks while retaining the option to develop modems for non-smartphone applications, such as PCs, internet of things devices and autonomous vehicles
This is the next step in a process that will surely see Apple-designed modems appear in iPhones and iPads in the future. When that will happen is unclear, but Apple will no doubt want to push on as quickly as possible so it can ditch its current Qualcomm deal.
In order to make that happen the deal sees Apple pick up more than 17,000 wireless technology patents as well as around 2,200 Intel employees. Whether Apple will retain all of those is not something we know currently, but it does sound like a large number to ingest.
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