Apple Plans to Use Qualcomm Chips for 5G iPhones in 2020 Following Settlement

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Apple is planning to purchase 5G modem chips from Qualcomm for use in its 2020 iPhones, according to a source with knowledge of today's settlement plans that spoke to Nikkei.

Apple won't be able to use Qualcomm chips in its 2019 iPhone lineup, but has already been testing Qualcomm's 5G chips for 2020 devices.

"It is too late for Apple to use Qualcomm's chips this year, but for 2020 it will purchase modem chips, including 5G modem chips, from the chipmaker for iPhones after finalizing the deal," a source with direct knowledge of the settlement plan told Nikkei.

As it moved toward a settlement, Apple started testing Qualcomm's 5G modem chips and asked some of its suppliers to test the chipmaker's product, Nikkei has learned.
Qualcomm and Apple have reportedly been negotiating for weeks to reach the settlement that was announced today. In a press release, Apple said that the two companies had agreed to drop all litigation with a six-year licensing agreement for Qualcomm's technology. Apple also said that the deal included a "multiyear chipset supply agreement."

Apple initially planned to use Intel's 5G chips in its 2020 iPhones, but recent reports have suggested that Intel has been missing developmental deadlines, causing Apple to lose confidence in Intel.

For a September 2020 launch, Apple needs to have sample 5G chips in hand in mid 2019, with finished chips available in early 2020, and rumors indicated Intel might not make that goal.

Apple in 2018 used Intel's chips exclusively for its iPhone lineup due to the bitter legal battle with Qualcomm, but may have had no choice but to settle with Qualcomm in order to ensure a 5G iPhone launch in 2020.

Smartphone makers like Samsung are debuting their first 5G smartphones this year, which means Apple is already launching 5G technology behind other manufacturers. Another year of delay rolling out 5G would have put iPhones far behind other devices.

Qualcomm has already debuted two 5G chips, including the X50 and the X55.

It's not clear if Apple will use Qualcomm chips exclusively for the 2020 iPhones or will split orders between Intel and Qualcomm as it has done in the past. According to Nikkei's source, Apple was concerned whether a sole supplier would affect its plans to introduce the first 5G smartphone in 2020.

Apple is working on developing its own modem chips in house to avoid relying on either Qualcomm or Intel, but those chips reportedly won't be ready for a 2020 iPhone launch.

Article Link: Apple Plans to Use Qualcomm Chips for 5G iPhones in 2020 Following Settlement
 
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ilikewhey

macrumors 65816
May 14, 2014
1,314
1,434
nyc upper east
phew, good news, i was afraid the iphone x would be my last iphone since previously going forward intel would be the sole supplier for apple. once iphone comes out with under screen finger print ill be all on board.
 

EugW

macrumors 604
Jun 18, 2017
7,605
4,928
And so even less desire for a 2019 iphone. Better to wait.
Yeah, I may just have to hold onto my 7 Plus for one more year, esp. at the crazy prices Apple charges for its flagship iPhones.

The good news is the performance is still very good, and the battery is new as of a few months ago.
 
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christophermdia

macrumors 6502a
Sep 28, 2008
743
153
Intel likely needed Qualcomm patents to finish development on their 5G chips and I’m sure with all litigation dropped to all Apple partners, everyone is chipping in a little change. Qualcomm isn’t stupid they took the money and ran because all their revenue depends on this agreement ... in 6 years Apple will drop them like a hot potato though.
 

Scubaman

macrumors member
Nov 1, 2011
49
41
This is a complete non-news item! If you bother to research 5G you’ll discover it can use any one of 3 frequencies. It’s only the highest frequency that gives the 100MB /sec download but only if there are mobile towers every 100 meters!! The medium & low frequencies are barely any better than 4G. As New Scientist put it in a recent article - “5G is a technology looking for a application”! Don’t panic about 5G it’s a waste of time!
 
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69Mustang

macrumors 604
Jan 7, 2014
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In between a rock and a hard place