Apple Extends Chip Deal With Qualcomm

Apple has extended its agreement with Qualcomm for three more years, indicating that Apple's own modem isn't ready yet. This deal ensures Qualcomm remains the modem supplier for iPhones through 2026. Despite Apple's efforts to develop its own modem, the complexity of creating a device that works across 5G and other networks has proven challenging. The financial terms of the new agreement are similar to the 2019 deal, and this extension is seen as a positive move for Qualcomm, especially with the upcoming 6G technology on the horizon.

What is the main reason Apple extended its agreement with Qualcomm?

• Apple's own modem chip is not ready.

• Qualcomm offered a better financial deal.

• Qualcomm is the only supplier available.

• Apple wants to focus on other technologies.

What years does the new agreement between Apple and Qualcomm cover?

• 2025-2027

• 2023-2025

• 2024-2026

• 2026-2028

What challenge does Apple face in developing its own modem?

• High production costs

• Compatibility with 5G and global networks

• Lack of skilled engineers

• Insufficient research facilities

What was the expectation regarding the iPhone 15 and Qualcomm modems?

• It would not support 5G networks.

• It would have a new design.

• It would be the last to use Qualcomm's modem.

• It would be the first to use Apple's modem.

How does the new agreement affect Qualcomm's position in the market?

• It has no impact on Qualcomm's market position.

• It strengthens Qualcomm's leadership in 5G.

• It makes Qualcomm dependent on Apple.

• It weakens Qualcomm's market position.