Intel To Exit The 5G Smartphone Modem Business

While Intel is clearly dominating the computer business, the company isn’t doing so well on the mobile front. The company had previously attempted to dabble with mobile chipsets but that did not fare so well. Then Intel started supplying components such as modems for mobile devices, like the iPhone, and it was reported that the company could actually be working to supply Apple with a 5G modem for future iPhones.

Unfortunately, it turns out that will no longer be the case because Intel has announced that they are now exiting the 5G smartphone modem business. This does not mean that Intel will be giving up on mobile devices completely as they have stated that they will continue to meet their current customer commitments for 4G modems.

According to Intel CEO Bob Swan, “We are very excited about the opportunity in 5G and the ‘cloudification’ of the network, but in the smartphone modem business it has become apparent that there is no clear path to profitability and positive returns. 5G continues to be a strategic priority across Intel, and our team has developed a valuable portfolio of wireless products and intellectual property. We are assessing our options to realize the value we have created, including the opportunities in a wide variety of data-centric platforms and devices in a 5G world.”

In the meantime, it has been reported that Apple and Qualcomm have reached a settlement agreement with regards to their ongoing lawsuit, and that Qualcomm is expected to supply Apple with 5G modems for its 2020 iPhones.

Tyler Lee
Categories: Cellphones
Tags: 5G, Intel, iPhone