Apple contracts Broadcom for $15 billion in wireless components
A new filing with SEC reveals that Apple has entered two separate contracts with wireless component maker Broadcom for $15 billion in wireless components.
According to the filing, Broadcom will provide specified RF components and modules to Apple to be used in hardware devices over the next three and a half years.
Apple currently uses Broadcom components on the iPhone 11 lineup for Wi-Fi and Bluetooth connectivity. As per analyst Patrick Moorhead or Moor insights, the filing suggests future iPhones could be supplied with Broadcom components for LTE connectivity – but Broadcom components for 5G connectivity aren’t completely off the table. Remember that Apple acquired Intel’s modem division.
Following the news of the 2020 SOW (Statement of Work), Broadcom’s stock price rose about 3% in after-hours trading with a peak of $330.10 after closing on Thursday at $319.65.
Apple on a brief
Apple is one of the top four IT companies, American giant and a multinational technology company is headquartered in Cupertino, California, the company designs, develops, and sells consumer electronics, computer software, and online services.
The company’s hardware products include the iPhone smartphone, the iPad tablet computer, the Mac personal computer, the iPod portable media player, the Apple Watch smartwatch, the Apple TV digital media player, the AirPods wireless earbuds and the HomePod smart speaker.
Apple’s software includes the macOS, iOS, iPadOS, watchOS, and tvOS operating systems, the iTunes media player, the Safari web browser, the Shazam acoustic fingerprint utility, and the iLife and iWork creativity and productivity suites, as well as professional applications like Final Cut Pro, Logic Pro, and Xcode.
Its online services include the iTunes Store, the iOS App Store, Mac App Store, Apple Music, Apple TV+, iMessage, and iCloud. Other services include Apple Store, Genius Bar, AppleCare, Apple Pay, Apple Pay Cash, and Apple Card.