Deals
Apple to Buy Intel Modem Unit to Jumpstart In-House 5G Plans
- Deal valued at $1 billion will bring on engineers, patents
- Eventually Apple wants to sever reliance on Qualcomm parts
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Apple Inc. is buying Intel Corp.’s struggling cellular modem unit, bringing on key engineering talent and patents that will allow the technology giant to more quickly develop crucial components to connect its devices to the mobile internet.
The deal is valued at $1 billion, Intel and Apple said in joint announcement. Intel sought to shed the unit because Chief Executive Officer Bob Swan decided it was costing the chipmaker too much money to support just one customer, which is Apple. The deal will give Apple 2,200 new employees and now a total holding of 17,000 wireless patents, the companies said.