Apple’s two-year-old feud with Qualcomm had escalated this year to the point where the iPhone maker has had to seriously consider secondary options to source its 5G routers. And while Intel isn’t the best option, a report from The Wall Street Journal is now suggesting Apple could end up buying the smartphone modem arm of the chip manufacturer. Although the new report comes after a peace treaty between Apple and Qualcomm and a subsequent report in June that Intel would auction off its 5G modem patents.
The WSJ report says the deal is in advanced stages and will cover Intel patents and staff valued at a billion dollars. The potential acquisition raises questions as one of the primary reasons for Apple’s settlement with Qualcomm was the inability of Intel to offer a 5G-capable smartphone modem in time to satisfy Apple’s own roadmap for a 5G iPhone release. Apple’s first 5G phones that are likely to debut in 2020 will most likely still be powered by Qualcomm modems. However, it seems the investment in Intel is for the near future as the iPhone maker tries to move more and more key components manufacturing in-house to fortify the future of its handset business.
The report is suggesting the two tech giants could reportedly announce a $1 billion deal next week.