Intel confirms $1 billion sale of modem business to Apple; outlook improves
Intel confirmed reports Thursday that it will sell its smartphone modem business to Apple for $1 billion, abandoning years of halting efforts to build its own wireless technology to capitalize on burgeoning modem technology.
And the chipmaker reported second-quarter sales well above its forecast, while modestly raising expectations for the year. The news sent Intel shares up 5.5% in after-hours trading.
Intel’s modems had been in the last few generations of Apple’s iPhone. But Apple announced plans to scuttle its smartphone modem business last April after Apple reached a legal settlement that called for using Qualcomm technology for the near future.
At that time, Intel said it would give up efforts to make its own smartphone modems for the new 5G wireless technology.
Read more: https://www.oregonlive.com/silicon-forest/2019/07/intel-confirms-1-billion-sale-of-modem-business-to-apple-outlook-improves.html