Apple wants to increase its chip dominance over Samsung

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Despite Samsung’s best efforts, Samsung’s bespoke Exynos chips have not been able to compete with Apple’s A series SoC lineup. They’ve even fallen behind Qualcomm’s direct rivals, but that’s another story given that Samsung is likely to use Qualcomm chipsets exclusively for its flagship phones.

According to a new report, Apple is developing a new cellular chip that will replace Broadcom’s Wi-Fi and Bluetooth chips. Broadcom also supplies Samsung with similar chips for its devices.

Apple wants to move away from one of Samsung’s suppliers

According to Bloomberg, Apple is developing its single chip, which will replace the Broadcom chip it currently purchases, to provide Wi-Fi and Bluetooth functionality on its devices. In addition, this chip may one-day power cellular connectivity, according to the report.

At this time, there is no indication that Samsung is working on something similar. The Broadcom BCM4389 Bluetooth and Wi-Fi 6E chip are present in current flagships like the Galaxy S22 Ultra.

Qualcomm currently supplies Apple with cellular modems for its devices. According to the report, Apple intends to use its cell phone models by the end of 2024 or early 2025. Apple’s custom modem may initially be introduced with a single product before being included in the entire line.

The company’s Bluetooth and Wi-Fi combination chip could be released in 2025, allowing Apple to replace Broadcom as the supplier of this essential component. Apple also uses radio frequency chips and wireless charging components from Broadcom, but the company is reportedly interested in customizing those components.

Apple will likely see an increase in profit margins on its products as a result of this, allowing it to further reduce its reliance on external suppliers for major components.

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