Qualcomm's Modem Dominance Challenged as Intel Wins Apple's Favor

Strategic Insights -

The recent announcement that Intel may capture 50% of Apple's future iPhone business away from Qualcomm has sparked interest in the tech industry. In its ongoing patent dispute with Ericsson, Apple has maintained that Qualcomm's cutting-edge innovations are being exploited by Ericsson. Meanwhile, Intel has stated that its XMM 7360 Modem is compliant with Ericsson, Samsung, and other major players. Industry analyst Northern Capital Markets' Gus Richard believes Intel is on the cusp of capturing a significant share of Apple's business.

Key Takeaways:

  • Intel's XMM 7360 Modem is a potential replacement for Qualcomm's modems in Apple's future iPhone models, with a possible 50% market share by 2017.
  • Qualcomm will still supply modem chips for Apple's upcoming iPhone, but Apple is exploring multiple suppliers for its 2017 series.
  • The Qualcomm modems used in Apple's iPhone 6s and iPhone 6s Plus are 20nm chips, fabricated in partnership with TSMC.
  • Intel's XMM 7360 LTE solution is compliant with major industry players, including Ericsson, Samsung, and others.
  • Apple's 2017 iPhone, assumed to be the iPhone 7s, may feature Intel modems.
  • Industry analyst Gus Richard believes Intel is poised to capture a significant share of Apple's business.

Statistics:

  • 50%: The potential market share Intel may capture from Qualcomm in Apple's future iPhone business.
  • 20nm: The process size of the Qualcomm modems used in Apple's iPhone 6s and iPhone 6s Plus.
  • 2017: The assumed release year of Apple's iPhone 7s, which may feature Intel modems.
  • 2015: The year when the current dispute between Ericsson and Qualcomm began.

Sources:

  • "Qualcomm's modems that are being used in Apple's iPhone 6s and iPhone 6s Plus are 20nm chips, and they are being fabricated in partnership with TSMC." - Digitimes
  • "Intel Corporation (NASDAQ:INTC) has already reiterated that XMM 7360 LTE solution is compliant with Ericsson Samsung and others." - Industry sources
  • "Northern Capital Markets' Gus Richard believes Intel is on course to capture a good percentage of Apple Inc's orders." - Northern Capital Markets