Apple has been trying to break up with Qualcomm for years. The two companies entered a massive legal battle after Apple tried to switch to Intel for its future supply of modems for iPhones. Apple eventually acquired Intel's modem business and has been hard at work developing its own in-house solution. However, it isn't ready for action yet, leading to an extension of Apple's current deal with Qualcomm.
Qualcomm's agreement with Apple to supply chips for the iPhone was set to expire this year. However, it was recently extended to 2026, as reported by Bloomberg's Mark Gurman. This means the 2024, 2025 and 2026 iPhone models will all continue to utilise Qualcomm tech.
Apple may introduce its own modem chips in an iPhone before that date, but the phasing out of Qualcomm chips will be gradual. Qualcomm reportedly expects to be supplying chips for 20 percent of iPhones by 2026, which is when the newly extended deal will expire, assuming Apple doesn't seek another extension.
Apple has been working towards producing its own chips for years now in an effort to lower its reliance on outside partners. This initiative has impacted not only Apple's mobile devices but its Mac computer business as well. Macs no longer use Intel or AMD chips and instead use Apple's own M-series processors for both CPU and GPU-related tasks.
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KitGuru Says: Apple is still working towards its separation from Qualcomm but it does appear to be taking longer than expected. When the new supply deal was forged in 2019, the plan was to have Qualcomm down to supplying 20 percent of modems by 2023. Now, that milestone isn't expected until 2026.