The delay in Apple’s 5G chip development does not spell good news for its iPhone 15 chip plans.
The situation has been revealed by Apple analyst, Ming-Chi Kuo, while talking about the latest Apple 5G modem situation on Twitter.
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Apple Plan To Produce 5G Chips In-House
Earlier Apple acquired Intel’s modem business in 2019.
The move was aimed towards producing in-house 5G chips for iPhones and not being dependent on outsourcing the job to other companies around the world, as per the reports.
Delayed 5G Chips Development
We already know that the development of the 5G modem of Apple began in late 2020, but the latest revelation from Kuo indicates that Apple won’t be ready to move to its own 5G chips until 2024.
Interestingly, the iPhone 15 launch is planned in 2023.
Further, Ming-Chi Kuo says in his Tweet, “My latest survey indicates that Apple’s own iPhone 5G modem chip development may have failed.”
This simply means that Qualcomm will continue to be the exclusive supplier for 5G chips for Apple’s 2023 iPhones.
How Does This Affect?
If we talk about Apple’s upcoming product line, Apple is expected to launch the iPhone 15 series in 2023 after the launch of the iPhone 14 series this year.
So, iPhone 15 series will also receive Qualcomm’s 5G chipset.
Even the current iPhone 13 series uses Qualcomm’s chipset, according to Kuo’s prediction.
Further predicting, Kuo said, “Qualcomm’s revenue and EPS in 2H23-1H24 will likely beat market consensus thanks to its sole supplier position for 5G chips of 2H23 new iPhones as Apple fails to replace Qualcomm.”
By the time Apple is ready with its own 5G chipsets and may plan to replace it in the upcoming iPhone, Qualcomm is likely to grow enough to significantly offset the negative impacts that it would face due to the order loss of iPhone 5G chips.
Why Is The Delay?
The industry expert claimed that the 5G baseband is different from other chips, according to a GizChina report.
The other fact is that the design and production are not direct.
So, there is a need for testing of these 5G bands in a full range of different operators.
Which is again a long process, and the pandemic has managed to further affect Apple’s progress.
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