Updated on 25 November 2023
Apple is without a doubt, one of the biggest technology companies ever. Almost everyone has (or wants) the latest iPhone, MacBook, iPad, and Apple Watch or, basically everything Apple. Who can blame them? For years, it has been able to prove to us its capabilities and longevity. What with new releases every year, the number of Apple users is only continuing to grow on a global scale. And as for the latest news, Apple buy Intel.
You read that right, the next move planned is apparently Apple to buy Intel modem. They are nearing a deal with Intel that allows them to finally be able to build their own models in house. According to the Wall Street Journal, Apple is only a week away from agreeing to officially buy the renowned Intel modem business.
Will Apple buy Intel soon? It is apparent that they are still withing advanced talks and it is said that the deal is to be priced at $1 billion or more (if the talks don’t fall apart).
Will Apple buy Intel?
Like I said earlier, it is definite that Apple wants to buy Intel smartphone-modem patents and staff. Indeed, this transaction would greatly benefit Apple since it is constantly trying to develop even more critical components for the innovation of its devices.
This Apple buy Intel deal would give them access to the work and talent behind Intel’s very own development of modem chips which are crucial for 5G. This could already save them a lot of time on the development process.
But this transaction won’t only benefit Apple, of course, Intel will also have their own fair share of rewards. The Intel smartphone business hasn’t been doing well recently to the point that they lose about $1 billion a year. With this deal, they can finally shed off this business and focus on the newer prospect: 5G technology. So basically, this deal would mean a win-win situation for both companies!
Apple to buy Intel Modem
The two companies have been in on and off talks for about a year now. According to the Wall Street Journal, they seemed to break down when Apple agreed to a multi year modem supply agreement with Qualcomm Inc.
Of course, Intel invited a lot of other buyers, but Apple seemed the most logical and had the most similar views.
Intel is the most recent company to exit a business after Apple decided to make in house components. In fact, just last year, Apple acquired 300 engineers and facilities from Dialog Semiconductor PLC fir $600 million dollars. This company supplied Apple’s battery management chips which is why we can expect better battery life from all their devices now.
Although Apple used to prefer only buying up to 20 small businesses per year, Intel is an exception to this. What with the iPhone business beginning to deteriorate because of all the competition on the market, the company needs to step up and start making even bigger, bolder deals. So, the main reason why Apple wants to buy Intel is so that they can have an edge over the rest of the competition in the market with the new 5G wireless network.