Apple continues to revolutionize its supply chain and become increasingly independent from third-party vendors. After replacing Intel processors with M1 chips manufactured by Apple itself for its computers, the company brought to light the development of CPU and GPU for mobile devices, which, according to expectations, will be compatible with the 5G network.
This subject appeared on the net approximately two years ago, and initially, it was believed that Apple would bring its first iPhones with proprietary modems as early as 2022, but since then a lot has changed. A new report released by analyst Ming-Chi Kuo reveals that 5G modems are already in development, but should be officially announced "only in 2023".
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5G modem already in development
In December of last year, Apple confirmed that it had begun work on a proprietary modem for its mobile devices. Later, Apple also announced a €1 billion investment to build a new design and development facility in Munich, Germany. The company's main objective with this construction is to develop 5G chips, in addition to exploring other technologies.
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It's not just today that Apple has the desire to control literally the entire stack of hardware and software provided for its products, but among that, the modem business proved to be quite controversial. A patent dispute caused Apple to abandon its partnership with Qualcomm, your long-term modem supplier. As a result, the company opted for lower-tier Intel chips in 2018, a partnership that also failed and forced Intel to sell its components division to Apple for $1 billion in 2019.
That said, the Cupertino giant needed to rekindle its relationship with Qualcomm. The iPhone 12, for example, uses the X55 5G modem, and according to court documents that are in effect until 2023, theiPhones 13 and 14 will still get a mix of X65 and X70 modems. This means that only after the end of this contract will Apple be able to truly "stand on its own feet" in the supply of 5G chips.
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