Apple Inc (NASDAQ:AAPL) wants to start replacing the Qualcomm modem chips that it uses in its iPhones as soon as 2024, according to a report from Bloomberg.
Apple has been working on in-house modem chip technology for several years, with the aim of reducing its reliance on Qualcomm.
The tech giant initially wanted to introduce its own modem chips as early as this year, but the 5G chip development will not be done in time for the launch of the 2023 iPhones, Bloomberg's report said.
Modem chip development has seen delays, and Apple will use a slow rollout to end its reliance on Qualcomm, Bloomberg noted, adding that the transition away from Qualcomm could take up to three years.
In addition to transitioning to its own in-house chips starting in 2024, Apple wants to stop using wireless components from Broadcom in 2025, Bloomberg said, and the company is working on a WiFi and Bluetooth chip that would replace the components that it is currently sourcing from Broadcom.
In 2020, Apple signed a three-and-a-half-year deal with Broadcom for wireless components and modules, with that deal set to expire midway through 2023.
While separate components to replace hardware sourced from Qualcomm and Broadcom are in development right now, Bloomberg said Apple is also working on a chip that will combine the cellular modem, WiFi, and Bluetooth functions into a single component.
Apple designs its own A-series chips for the iPhone and M-series chips for the Mac, and replacing modem chips and wireless components has been a priority ever since its dispute with Qualcomm.
The tech giant launched a legal battle against Qualcomm in 2017, accusing the chipmaker of unfairly collecting royalties for technologies it had nothing to do with. Apple was forced to settle its lawsuit with Qualcomm and has since used Qualcomm 5G modem chips for the iPhone and iPad lineups.
Apple wanted to transition away from Qualcomm with the shift to 5G to stop paying Qualcomm's fees and instead use Intel technology, but Intel was not able to manufacture 5G chips that met Apple's standards. In 2019, Apple purchased Intel's modem chip business to get a head start on chip development, and 2024 may be the soonest that the technology is finally advanced enough for Apple to phase out Qualcomm, Bloomberg said.