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Apple Couldn't Develop Own 5G Modems in Time, Qualcomm to Remain Supplier for iPhone in 2023: Ming-Chi Kuo

Qualcomm is expected to retain its 100 percent supply share for Apple’s 5G modem chips.

Apple Couldn't Develop Own 5G Modems in Time, Qualcomm to Remain Supplier for iPhone in 2023: Ming-Chi Kuo

Photo Credit: Reuters

Qualcomm is expected to remain the exclusive supplier of 5G modems for new iPhones

Highlights
  • Qualcomm earlier expected to supply only 20 percent of Apple 5G Modems
  • Apple iPhone 15 is expected to launch in second half of 2023
  • Kuo said this could result in Qualcomm beating market estimates

Apple has been trying to develop its own 5G modem chip for iPhones as the tech giant is reportedly planning to partner with the Taiwan Semiconductor Manufacturing Company (TSMC). Now, an analyst has said that a survey conducted by him has indicated that the Cupertino-based company has failed to develop its own 5G modem chips in time for the iPhone 15, which is expected to launch in the second half of the year 2023. Meanwhile, Qualcomm is said to be remain the exclusive supplier for 5G modem chips for new iPhones.

Famous TF International Securities analyst Ming-Chi Kuo has shared on the microblogging platform Twitter that according to the latest survey conducted by him, the tech giant Apple may have failed to develop its own iPhone 5G modem chips in time for the iPhone 15 that is expected to launch in the second half of 2023. The analyst said that the Qualcomm will continue to remain an exclusive supplier of the iPhone 5G modem chips for Apple with a 100 percent supply share, contrary to its own estimate of 20 percent share.

The analyst added that the sole supplier position for Apple's iPhone 5G modem chips could potentially result in Qualcomm's financial results beating the market estimates for the second half of 2023 and first half of 2024. The analyst believes that Apple will continue to work on developing its own iPhone 5G modem chips but by the time the company succeeds, Qualcomm's other businesses would have grown enough to significantly offset the loss of orders for 5G modem chips from Apple.

According to an earlier report, Apple is planning to partner with TSMC for the production of company's own iPhone 5G modem chips for future smartphones. The modem was said to be designed and tested at 5nm before moving to mass production in 2023 at 4nm.


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