Apple plans to buy the majority of Intel's 5G smartphone modem business for $1bn

By Laura Mullan
Following widespread rumours this week, Apple has confirmed that it is buying the majority of Intel’s smartphone modem business in a bid to kick start...

Following widespread rumours this week, Apple has confirmed that it is buying the majority of Intel’s smartphone modem business in a bid to kick start its in-house 5G hardware efforts.

The deal, valued at $1bn, will see 2,200 Intel employees joining the iPhone maker, along with intellectual property, equipment and leases. 

Johny Srouji, Apple’s SVP of hardware technologies, said the acquisition will “help expedite our development on future products and allow Apple to further differentiate moving forward.”

SEE ALSO:

Intel won’t be getting out of the modem business entirely though. 

It says the deal will allow it to focus on developing modems for computers, Internet of Things devices and self-driving cars. 

“This agreement enables us to focus on developing technology for the 5G network while retaining critical intellectual property and modem technology that our team has created,” said Intel CEO Bob Swan. 

“We have long respected Apple and we’re confident they provide the right environment for this talented team and these important assets moving forward. 

“We’re looking forward to putting our full effort into 5G where it most closely aligns with the needs of our global customer base, including network operators, telecommunications equipment manufacturers and cloud service providers.”

If approved by regulators, the deal is expected to close in the fourth quarter 2019.

Share

Featured Articles

TECH LIVE LONDON: Day 2 highlights of the hybrid tech show

We take a look at some of the highlights of our final day at the Tech Live London show, including insights from Claroty, SalesForce and Oracle

TECH LIVE LONDON: An overview of the hybrid technology show

We take a look at the first day of Tech Live London with insights from technology leaders from companies such as IBM, Microsoft and Vodafone

TECH LIVE LONDON: Begins tomorrow at 10am!

Our marquee technology event is nearly here. There's still time to claim your free ticket (worth £295). Look forward to welcoming you to the Tobacco Dock!

Executive Q&A: Marc Lueck, CISO EMEA, Zscaler

Cloud & Cybersecurity

TECH LIVE LONDON: Registering, networking and logistics

Digital Transformation

New speaker from Infosys announced for TECH LIVE LONDON!

Digital Transformation