Apple Extends Qualcomm Partnership for Modem Chips Through 2027

Apple has decided to extend its modem chip licensing agreement with Qualcomm, as revealed in the chip maker’s first earnings call of 2024, MacRumors reports.

The agreement, now extended for an additional two years, ensures the presence of Qualcomm modems in upcoming iPhone generations until March 2027.

While Apple has been diligently working on developing its own 5G modem chip, progress has faced delays. Originally aiming for a 2024 debut, the company’s in-house modem chip got postponed until late 2025 or 2026, with the potential for further setbacks.

Despite the setbacks, Apple has ambitions to have its Apple-designed modem chip featured in an iPhone SE, though the targeted spring 2025 release may not be achievable.

Mark Gurman from Bloomberg previously noted that Apple is still “years away” from creating a chip that matches or surpasses Qualcomm’s performance.

The integration of Intel code, acquired with Intel’s modem chip business, has posed challenges for Apple. Code rewriting and the addition of new features have resulted in the breakdown of existing functionalities.

Moreover, Apple must navigate carefully to avoid infringing on Qualcomm’s patents during the modem development process.

As the modem development journey faces hurdles, the upcoming iPhone 16 Pro models, anticipated for release in 2024, are rumored to feature Qualcomm’s Snapdragon X75 modem.

This Qualcomm X75 promises improved carrier aggregation and a more power-efficient transceiver, enhancing the overall performance of Apple’s next generation iPhones.