Apple announces that it will develop and manufacture components for 5G made in the United States by signing a contract of hundreds of billions of yen with Broadcom
Apple announced that it has signed a new contract worth billions of dollars (hundreds of billions of yen) with Broadcom, which manufactures semiconductor products for communication infrastructure. Under the agreement, Broadcom will develop and manufacture radio components for 5G, including
Apple announces multibillion-dollar deal with Broadcom - Apple
https://www.apple.com/newsroom/2023/05/apple-announces-multibillion-dollar-deal-with-broadcom/
Apple inks multibillion-dollar deal with Broadcom for wireless components - SiliconANGLE
https://siliconangle.com/2023/05/23/apple-inks-multibillion-dollar-deal-broadcom-wireless-components/
Apple Extends Broadcom Pact With Multibillion-Dollar 5G Deal | Data Center Knowledge | News and analysis for the data center industry
https://www.datacenterknowledge.com/apple/apple-extends-broadcom-pact-multibillion-dollar-5g-deal
Apple Stock: iPhone Maker Signs Chip Deal With Broadcom | Investor's Business Daily
https://www.investors.com/news/technology/apple-stock-iphone-maker-signs-chip-deal-with-broadcom/
Apple is investing billions in US-made 5G components
https://qz.com/apple-is-investing-billions-in-us-made-5g-components-as-1850465666
On May 23, 2023, local time, Apple announced that it had signed a multi-year, multi-billion dollar deal with Broadcom. “We are excited to work with the ingenuity, creativity and innovative spirit of American manufacturing,” said Tim Cook, CEO of Apple. We rely on manufactured technology.We have an unwavering belief in America's future and will continue to deepen our investment in the American economy.'
FBAR filters are radio frequency filters used in wireless communications such as mobile phones, GPS, and Wi-Fi, and are used to block wireless interference and improve the quality of wireless communications. SiliconANGLE reports that Broadcom's FBAR filters are also very small with a surface area of less than 1 square millimeter.
The FBAR filter will be designed and manufactured at some of the major manufacturing and technology bases in the United States, such as Fort Collins, Colorado, where Broadcom has major facilities. Apple already supports more than 1,100 jobs at Broadcom's FBAR filter manufacturing facility in Fort Collins, and the partnership will allow Broadcom to continue investing in more important automation projects and upskilling engineers. It's going to be like this.
In addition, Apple employs more than 2.7 million people directly across the United States, employs iOS app developers, and spends with more than 9,000 suppliers and manufacturers across dozens of sectors in all 50 states. It is appealing that it supports . He also said that Apple is spending tens of billions of dollars (trillions of yen) to develop 5G technology.
These investments are part of Apple's 2021 pledge to ' invest $430 billion in the American economy over five years. ' capital expenditures and other domestic spending in the United States, we are continuing to invest on pace to meet this goal.
Apple is one of Broadcom's biggest customers, and the two companies signed a three-year deal in 2020. Therefore, this new contract is to extend the partnership between Apple and Broadcom. According to Broadcom's 2022 earnings report, it is clear that transactions with Apple accounted for 22% of the company's sales, and Broadcom's stock price rose by 1.2% due to this contract announcement. increase. Meanwhile, Apple's stock fell 1.5%.
Silicon Valley Business Journal has requested comments from Apple and Broadcom, but neither company has responded at the time of writing.
``Apple is trying to diversify its supply chain, both from a vendor and geographical perspective,'' Bloomberg analyst Anurag Rana said of the deal. In fact, Apple relies on China for most of the manufacturing of components for its products, but during the deterioration of relations between the United States and China and the pandemic of the new coronavirus , the factories that manufacture Apple products were all affected by lockdowns. In response to this, it is reported that 'Apple is planning to move its manufacturing base outside of China.'
Apple is considering moving 40 to 45% of iPhone production to India to break away from high-risk China - GIGAZINE
Also, in January 2023, Bloomberg said, ``Apple plans to reduce its dependence on chip makers,'' and Apple plans to replace the chip responsible for Wi-Fi and Bluetooth functions on the iPhone with a Broadcom chip. I was told there is. Bloomberg points out that ``Apple hopes to switch to its own designed chip as early as 2025,'' and in the long term, replace the 5G modem chip supplied by Qualcomm with its own design. It is said that they are considering it. In other words, this contract is one of Apple's measures to break away from dependence on chip manufacturers.
Will Apple's first self-made chip-equipped device appear in 2025, aiming to break away from Broadcom by in-house manufacturing of Wi-Fi & Bluetooth communication chips?-GIGAZINE
The rumor that Apple will develop its own 5G modem chip has been reported frequently since it first appeared in 2020. In fact, Apple has acquired Intel's modem chip business, which is believed to be for in-house design of modem chips for smartphones.
Apple announces acquisition of Intel's modem chip business for smartphones - GIGAZINE
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