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  • Apple bought Intel modem business for $1 billion

    Apple has acquired from Intel most of the business associated with the production of modems for mobile devices. In addition to intellectual property and equipment, the billion-dollar deal includes the transfer to Cupertino of more than two thousand employees of the blue tech-giant.

    Apple bought Intel modem business for $1 billion

    The deal, estimated at a billion dollars, provides for the transfer of production capacity Intel to release modems and more than 17,000 patents related to wireless technologies, including mobile communication standards and a detailed description of the architecture and working principles of modems. It is expected that it will be closed in the fourth quarter of this year. At the same time, a team of 2,200 Intel specialists will join Apple.


    "We have been working with Intel for many years and know that this team shares Apple's passion for developing technologies that provide the best experience in the world for our users. Apple is excited that so many great engineers are coming to our growing group of cellular technologies, who know that they will thrive in Apple's creative and dynamic environment. They will help to accelerate the development of future products," said Johnny Srouji, Senior Vice President of Apple's hardware technologies.

    Intel will retain the ability to produce modems for equipment not directly connected to smartphones — personal computers, the Internet of things and autonomous vehicles. Intel representatives announced their intention to focus on the development of technologies for mobile networks of the fifth generation that meet the requirements of Intel partners around the world.

    Apple bought Intel modem business for $1 billion

    Previously, Apple actively cooperated with Qualcomm, but during the litigation on patent infringement agreed to pay a large fee to the California partner, the amount of which was not announced, and signed an agreement on payment of license fees for the chips created by Qualcomm technologies. Presumably, the transition to its own production will allow the Corporation to gain independence from partner supply of chips for new iPhones after 2020.

    The release date of the new Apple modems based on the acquired technologies has not been announced yet.

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