Apple and Intel have signed an agreement that Apple will acquire the bulk of Intel's smartphone modem business. About 2200 Intel employees will join Apple, along with intellectual property, equipment, and leases. The transaction, valued at $ 1 billion, is expected to close in the fourth quarter of 2019, subject to governmental approval and other customary terms, including works councils and other relevant consultations in certain jurisdictions.
wireless technology with Apple's existing portfolio, Apple will hold over 17,000 wireless technology patents, ranging from mobile standards protocols to fashion architecture and modem operations. Intel will retain the ability to develop modems for non-smart applications, such as PCs, Internet devices, and autonomous vehicles.
“This deal allows us to focus on developing technology for the 5G network while retaining critical intellectual property and modem technology created by our team,” said Intel CEO Bob Swan in a statement. "We have long respected Apple, and we are confident that they will provide the right environment for this talented team and these key assets in the future. We look forward to putting our full efforts into 5G where it is more closely aligned with the needs of our global customer base. "We have worked with Intel for many years and know that this team shares Apple's passion for designing technologies that deliver the world's best experiences for our users," says Johny Srouji, Apple's Senior Vice President of Hardware Technologies, in a statement, Apple is excited to have so many great engineers joining our growing mobile phone group, knowing that they will enjoy Apple's creative and dynamic environment. Significant acquisition of innovative IP will help accelerate the development of future products and allow Apple to further distinguish ahead. ”
Sources: Apple, Intel
MacDailyNews Take: [1
As we reported only back in April, a large Apple acquisition was made. "It's just a matter of & # 39; when & # 39; if & # 39;", our source told us in mid-June.
Strangely enough, our source says today, although this Intel modem biz procurement is the second largest in Apple's history. , NOT the "great Apple procurement" our source described, and that opportunity continues to exist.