Apple still wonders about the MediaTek agreement on modem chips for iPhones

In recent years, Apple has been relying on Qualcomm for the modem chips of its iPhones. However, the Cupertino giant wants to change that by tapping another chip supplier. But it has not yet decided whether this provider will be the Taiwan-based semiconductor company MediaTek.

Supply chain sources told Digitimes on Monday that Apple is still pondering the possible deal with MediaTek that would allow the latter to provide modem chips for next generation iPhones . Apple claims to want to reduce its dependence on Qualcomm, so it is considering the Taiwanese chip supplier.

Nevertheless, a final decision was not made between the two. There is no clear sign whether the two companies have already discussed thoroughly a chip supply agreement via modem. But sources said they could reach a consensus only once they agreed on the product roadmap, technology development and development. # 39; collaborative aspect of the agreement.

People familiar with Apple's plans told Bloomberg late last year that Tim Cook's company was designing iPhones and iPads without Qualcomm parts. The sources claimed at the time that Apple could use MediaTek and Intel's modem chips because of its legal battle with Qualcomm.

The latest speculations are leaning towards MediaTek, which may become the second source of modem chips at Qualcomm. Northland Capital Markets badyst, Gus Richard, says MediaTek could supplant Intel because Apple plans to phase out Intel chips by 2020.

MediaTek has already unveiled its 5G chipset, called Helio M70, at Computex Taipei 2018 last month. The company would be ready to develop custom chips for individual customers. In addition, MediaTek is also likely to secure Apple's custom Wi-Fi chip orders for its HomePod speakers.

Meanwhile, IBTimes learned last week that Samsung was also eager to re-produce processors for Apple's iPhones. The South Korean tech giant was previously a chip maker for Apple until 2015, but it has lost its place to TSMC which has become the only maker of iPhone processors since 2016 as part of Samsung's legal dispute and Apple.

Source: Reuters / Stephen Lam

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