Qualcomm Chip to Power iPhone 5?
Intel’s (INTC) recent acquisition of Infineon’s wireless business gave Apple (AAPL) good reason to diversify its baseband chip suppliers, and that’s exactly what it appears to be doing, according to a report in Taiwan’s Commercial Times. The publication claims that Qualcomm (QCOM), not Infineon, will provide the baseband chip for Apple’s fifth-generation iPhone.
Which is interesting, and not just from a supplier diversifications standpoint. Qualcomm holds a 69 percent share of the CDMA mobile phone chipset market and would be the logical choice to provide silicon for the CDMA iPhone Apple is rumored to be developing for Verizon (VZ).
In any event, if Apple has tapped Qualcomm as its new baseband supplier, it’s a blow to Intel, which was surely hoping to hold on to Apple’s lucrative iPhone business when it bought Infineon’s wireless assets.