Apple is reportedly looking to phase out the use of Qualcomm and Broadcom chips in its products in favor of its own in-house modem, WiFi, and Bluetooth chips.
As reported by Bloomberg, the company will be "dropping a key Broadcom Inc. part in 2025, according to people familiar with the situation." That Broadcom part is reportedly the combined Wi-Fi and Bluetooth chip that the supply partner has been making for the iPhone for years now.
According to the report, Apple is looking to replace Broadcom's chip with its own in-house processor that seeks to handle both wireless technologies for its smartphone. If successful, Apple will move another processor in-house, something that it has been consistently doing across its entire product lineup — the most recent example of this is Apple's switch from Intel to its own in-house chips for the Mac, with all of Apple's best MacBooks and desktop Macs now running Apple silicon, such as the new M2 MacBook Air.
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In addition to switching from Broadcom for its Wi-Fi and Bluetooth chip, the company is also rumored to be switching from Qualcomm to its own 5G modem to power the cellular connectivity in future iPhones. Apple was originally rumored to be making such a switch as soon as this year with the iPhone 15, but the project has been delayed to at least 2025.
According to the report, the company is working on a future chip that could combine Wi-Fi, Bluetooth, and cellular into one chip to power all kinds of wireless connectivity.
The move would allow Apple to have more control over the design and production of its devices, and potentially save the company a ton of money in licensing fees. If such a switch happens, it could have significant implications for Qualcomm and Broadcom, which have long relied on Apple as a major customer. Both companies are expected to see a decline in revenue if they lose Apple's business.
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Joe Wituschek is a Contributor at iMore. With over ten years in the technology industry, one of them being at Apple, Joe now covers the company for the website. In addition to covering breaking news, Joe also writes editorials and reviews for a range of products. He fell in love with Apple products when he got an iPod nano for Christmas almost twenty years ago. Despite being considered a "heavy" user, he has always preferred the consumer-focused products like the MacBook Air, iPad mini, and iPhone 13 mini. He will fight to the death to keep a mini iPhone in the lineup. In his free time, Joe enjoys video games, movies, photography, running, and basically everything outdoors.