Futurum’s Principal Analyst Daniel Newman breaks down Apple’s 5G strategy, as it appears to put profits before innovation.
Apple, after wide rumors, will in fact complete the acquisition of Intel’s modem business for a billion dollars. This acquisition is said to be the key to the company winning their ambitions to build their own 5G modem. But is it enough to drive their 5G strategy forward?
With Apple allegedly on the verge of buying Intel’s now defunct modem business, the company is looking to take iPhone modems in house in a move away from Qualcomm. Is this a good move, and when will Apple be ready to deliver an iPhone with an Apple modem?
I have no doubt that Apple intends to own the entire supply chain and modems and then perhaps RF to follow. I am skeptical that they can execute in the timeline being provided. I would think 2024 or even 2025 is more reasonable, but let’s give them kudos for being bold. As an admitted fan of the Qualcomm modems, I think they could better divert resources elsewhere, but that isn’t Apple’s style.