Apple designs its own custom processors for its mobile and other devices but the company still has to source 5G modems from other suppliers. It was even reported at one time that the company might be looking to source 5G modems from Samsung. Apple has recently been sourcing 5G modems from Qualcomm for its iPhones.
It's been reported for the longest time that the company is working on developing its own 5G modem. However, if a new rumor is to be believed, Apple may have given up on the idea entirely.
Apple may abandon its 5G modem project
The expectation was that Apple's own 5G modem would debut with the 4th generation iPhone SE. A rumor out of Korea suggests that as Apple is now streamlining its investments in the modem development division, it may drop the idea of making 5G modems.
If this is indeed true, it would mean Apple takes a significant loss on this endeavor, considering the fact that it paid $1 billion to acquire Intel's modem business in 2019. This was a significant transaction in which Apple acquired the entire business and over 2,000 staff that had previously worked on modems at Intel.
It also seems a bit unusual as to why Apple would struggle with the development of a 5G modem. It has been designing its own advanced chipsets for many years now. There's no lack of development expertise at the company and with Intel's entire modem business under its wing, the company can surely make a 5G modem.
Perhaps the company requires some more time to work on certain aspects related to the integration of its new custom 5G modem with its devices. That still seems like a more plausible explanation compared to outright abandonment as this unsubstantiated rumor suggests. If there's more to this story, we'll likely hear about it in the coming months.
