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Apple extends iPhone modem deal with Qualcomm, Samsung extends its multi-year contract

Apple will use Qualcomm's 5G modems until March 2027 as against the previous deadline of 2026 indicating a delay in its plans of developing its own chips.

Edited By: Shweta Ganjoo

Published: Feb 01, 2024, 05:36 PM IST


Story Highlights

  • Qualcomm has shared the earnings results for Q1 2024.
  • Apple will now use Qualcomm's modems until March 2027.
  • Qualcomm has also signed multi-year deal with Samsung.

Apple last year announced that it would use Qualcomm’s modems until 2026. But now it looks like we might get to see this partnership a little longer. Qualcomm has announced the results for the first quarter of 2024. During the announcement, the company not only shared details of how it has fared so far, but it also talked about the projections for the upcoming year, that is, financial year 2023-24. One of the details that the chipmaker divulged during the presentation is its extended partnership with Apple.

During the presentation, Qualcomm President and CEO Cristiano Renno Amon said that Apple will be using its modems until March of 2027. “…we’re pleased to share that we recently extended several key license agreements. First, Apple exercised its unilateral option to extend its global patent license agreement for an additional 2 years, taking the existing agreement through to March 2027,” he said during the presentation.

This means that Qualcomm‘s 5G modems will be powering Apple devices, including iPhones and iPad, for an additional year, that is, until March 2027. This also indicates a delay that the company is facing in terms of developing its own 5G modems.

For the unversed, Apple for long has been said to be working on developing its own 5G modems, just like it does in case of its processors, in a bid to reduce its dependency on companies such as Intel and Qualcomm. However, over the years reports have pointed out towards delays in the company’s plans of developing chips that are on par with the third-party chips that it is using now. Furthermore, reports last year suggested that the company was planning to scrap its 5G modem development efforts after months of trying to develop a chip. However, the recent developments indicates that the company may not have given up on its efforts of developing its chip just yet.

Samsung extends partnership with Qualcomm

Apart from Apple, Samsung is another tech giant that has extended its partnership with Qualcomm. In his presentation, the Qualcomm CEO said that the company has also extended its multi-year deal with Samsung. “We’re also announcing that we extended a multiyear agreement with Samsung relating to Snapdragon platforms for flagship Galaxy smartphone launches starting in 2024. The extended agreement demonstrates the value of Snapdragon 8, our technology leadership and our successful long-term strategic partnership with Samsung,” he said during the presentation.

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Author Name | Shweta Ganjoo


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