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Apple expected to buy Intel’s 5G Modem Business for $1 billion

According to the media reports Intel is expected to buy Intel’s Modem Business for $1 Billion. According to the Wall Street Journal reports Apple is said to be in advance stage of cracking the deal with Intel. With this deal Apple will get technologies for Intel’s modem technologies.

Few months back Apple and Qualcomm announced to ensure the steady supply of 5G modems for upcoming iPhones.

With this deal Apple will be able to produce sufficient modems for their upcoming iPhone devices. The cost of this deal is said to be around $1 billion.

This deal is very crucial for Apple and deal is said to include the staff, patents of Intel’s modem manufacturing facility.

Still there is no official announcement about this deal from Apple. According to the reports the official announcement is expected next week once the deal is finalized.

This deal is crucial for Apple as this deal will help them in manufacturing modems for 5G mobiles in-house. In this regard company has already hired engineers and executives.

Apple is aggressively working towards acquiring 5G modem technologies from Intel and to start in-house manufacturing of modems.

This deal will give access to the Intel’s patent, staff and technologies to boost inhouse production of modem. The importance of 5G modem will be increased when this high speed network came into operation in next couple of years.

For Intel this seems to be a very opportunity to sale out loss-making business unit. Apple is biggest modem customer for Intel and without Apple Intel won’t be able to make profit from modem business. Earlier Apple and Qualcomm announced a deal for modem. Soon after this deal Intel announced its departure from the modem business.

If the information about the deal is true and it is signed the then next week official announcement is expected.

This deal is next step towards making in-house modem by Apple.

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