According to the latest news from the United States, Intel has decided to sell its division that deals with smartphone modems.
It seems that what is pushing the producer to take this decision was the recent agreement reached between Qualcomm and Apple, and by virtue of which the Cupertino giant will not have the need to turn to Intel for the supply of 5G chips to be mounted on the next generation of iPhone.
Now, Intel is pivoting and looking to offload its smartphone-modem business as a whole, according to WSJ. Apple is still a possible buyer, though a few other companies have expressed interest and Intel is working with Goldman Sachs to facilitate negotiations. The deal will likely be worth a few billion dollars, though it’s all in an early stage for now, the report says.
Qualcomm was Apple’s sole smartphone-chipset supplier before the companies entered a game of lawsuit chicken in 2017, suing each other over patent-royalty and contract violations. During this time, Intel took over as Apple’s modem supplier.
It remains to be seen what the future of Intel’s smartphone division will be once it has been purchased by another company. Does the mobile market risk losing one of its most renowned performers?