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Bloomberg’s Gurman: Apple ‘Playing the Long Game’ With Its 5G Modem

Bloomberg’s Gurman: Apple ‘Playing the Long Game’ With Its 5G Modem

Apple is spending billions of dollars to develop its in-house 5G cellular modem. However, it may be a while before users notice an improvement, according to Bloomberg‘s Mark Gurman.

In his most recent “Power On” newsletter, Gurman explained that, while Apple’s transition to Apple Silicon provided immediate and noticeable benefits, the company’s first modem won’t offer any noticeable benefits for users. Gurman says Apple executives have acknowledged that “customers don’t really care who makes the modem in their phone” and “it’s hard to tell how big the benefits will be in the near term.”

Instead, Apple is willing to play “the long game, hoping its modem will evolve into a more advanced component that could ultimately change the way an iPhone looks and works.”

Down the road, there are plans for Apple to fold its modem design into a new wireless chip that handles Wi-Fi and Bluetooth access. That would create a single connectivity component, potentially improving reliability and battery life.

There’s also the possibility that Apple could one day combine all of this into the device’s main system on a chip, or SoC. That could further cut costs and save space inside the iPhone, allowing for more design choices.

While Apple had used Qualcomm-produced modems for more than a decade, it decided to design and manufacture its own modem chips following royalty and patent battles with Qualcomm. Apple then purchased Intel’s modem operations but has faced performance and overheating issues. The Cupertino firm isn’t expected to release an iPhone with a homegrown 5G modem until 2025 at the earliest. Even then, the rollout is expected to be a gradual one, expanding over its device lineup over the next few years following the first release.

(Via MacRumors)

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