Apple is reportedly in talks to buy Intel's smartphone-modem chip business for $1 billion
- Apple is in talks to buy Intel's smartphone-modem business in a deal valued at $1 billion, according to the Wall Street Journal.
- The two companies had reported discussed a deal earlier this year, but the talks broke down when Apple signed a deal with Qualcomm.
- Intel announced in April that it was getting out of the smartphone business. CEO Bob Swan said, "There was no clear path to profitability."
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Apple is reportedly in talks to buy Intel's smartphone-modem chip business, the Wall Street Journal reported Monday.
The iPhone maker is looking to acquire Intel's patent portfolio in a deal valued at $1 billion, the report said, citing unnamed sources. A deal could be reached in the next week, the report said.
Intel stunned the tech world in April when it announced that it was getting out of the 5G smartphone modem business. "It has become apparent that there is no clear path to profitability and positive returns," Intel CEO Bob Swan said in a statement when the move was announced.
For Apple, buying Intel's smartphone business would give it greater control over a key component used in its devices, especially if and when it begins manufacturing 5G-compatible iPhone models.
The two companies had reportedly discussed a deal in the past, but the talks are said to have fallen apart when Apple signed a separate deal with Qualcomm, for a six-year license agreement and a multi-year chipset supply agreement. The companies also agreed to drop all litigation against one another.
Intel declined to comment. Apple was not immediately available for comment.
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