Apple Extends Qualcomm Modem Deal Until 2027 Amid In-House 5G Struggles

Apple Extends Qualcom Agreement Until 2027

Apple has extended its agreement with Qualcomm to continue using the company’s 5G modems until March 2027, according to Qualcomm CEO Cristiano Amon. This latest extension is due to ongoing challenges in developing its own 5G modems. In 2019, Apple acquired Intel's modem division for $1 billion, gaining over 17,000 patents and 2,200 employees. Despite these efforts, Bloomberg reported that the development has been a 'frustrating journey,' with prototypes failing to match Qualcomm’s performance and efficiency. The initial target was to release devices with in-house 5G modems this year, but this renewal suggests Apple is still far from achieving that goal. Qualcomm also supplies the satellite communication module used in the iPhone 14 and 15 models.