Apple Inc has designed iPhones and iPads that would drop chips supplied by Qualcomm Inc and use modem chipsets from either Intel or MediaTek.
The most valuable company Apple and Qualcomm, the leading smartphone chip maker are involved in a bitter clean battle. San Diego-based Qualcomm has claimed Apple of infringing six of its patents while Apple has claimed Qualcomm of overcharging for patent use and misuse of power. A move by Apple to drop Qualcomm chipsets from its iPhone and iPad could significantly affect the latter.
The report informs that the change would affect iPhones launch in the fall of 2018. But Apple could still change course before then. They declined to be similar because they were not authorized to discuss the matter with the media.
The dispute stems from a change in supply arrangements under which Qualcomm has stopped providing some software for Apple to test its chips in its iPhone designs.
Qualcomm said that it is providing fully tested chips to Apple for iPhones. “We are committed to supporting Apple’s new devices consistent with our support of all others in the industry,” Qualcomm said.
Another report informs that Apple could drop Qualcomm chips Monday.
Bernstein analyst Stacy Rasgon said that Apple’s move is not totally unexpected.Rasgon said that it is too early to say definitively whether Apple fully intends to drop Qualcomm next year because Apple can likely make multiple contingency plans for different supplier scenarios.
Rasgon said that it is too early to say definitively whether Apple fully intends to drop Qualcomm next year because Apple can likely make several contingency plans for different supplier scenarios.
Rasgon said, “Apple is big enough that they want to support multiple paths, they can do that,” Rasgon said. “Samsung (Electronics Co ) did this too. A couple of years ago, Samsung designed Qualcomm out, but Qualcomm didn’t even know until it was close to time to ship (Samsung’s phones)”.