Apple extends Qualcomm chip supply deal to 2026

Share post:

Apple and Qualcomm have agreed to extend their chip supply deal until at least 2026.

The deal is worth billions of dollars to Qualcomm and will see the company continue to supply 5G chips to Apple for its iPhones and other devices.

Following the announcement, Qualcomm’s shares surged by 4% during early afternoon trade. Apple’s shares also registered a 0.5% increase.

The extension of the deal comes at a time when Apple is facing increased challenges in China, its second-largest market where it has been criticized for alleged monopolistic practices. Apple has also been caught up in the country’s crackdown on technology companies.

Under the deal, Qualcomm will be the exclusive chip supplier for Apple’s phones until 2026, with precise financial details remaining undisclosed but deemed “similar” to the previous arrangement.

The deal with Qualcomm is a way for Apple to secure a reliable source of chips at a time when the global chip shortage is causing supply chain disruptions. It also gives Apple more time to develop its own modem chips, which are used to connect devices to cellular networks.

The sources for this piece include an article in Reuters.

Featured Tech Jobs


Related articles

Apple reduces forecasts for Vision Pro as demand cools in key US market

In an unexpected shift, Apple has drastically reduced its shipment forecasts for the upcoming Vision Pro, indicating a...

FTC says Microsoft’s layoffs at Activision Blizzard may threaten merger approval

The FTC has expressed dissatisfaction with Microsoft's layoffs at Activision Blizzard, challenging the integrity of the Microsoft-Activision deal....

Delaware court voids Musks $56 billion dollar compensation

Tesla's stock experienced a notable downturn following a Delaware court's decision to void CEO Elon Musk's massive $56...

IT World Canada strikes partnership with Canadian Cybersecurity Network

Goal is to make it easier for infosec pros to access each organization

Become a member

New, Relevant Tech Stories. Our article selection is done by industry professionals. Our writers summarize them to give you the key takeaways