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Intel dumps 5G mobile business after Apple and Qualcomm settle

intel quits 5g phone business

Intel will be leaving 5G mobile modem business as Apple and Qualcomm are on better terms now. Instead, Intel says it’ll dedicate its resources to develop 4G and 5G models for PCs and broaden its 5G infrastructure on the whole.

Just when the two tech giants were placing open arguments in the court, the companies have made an unexpected settlement, bewildering everyone. Hearing the news, Intel has come to this decision a couple of hours later. In a statement, Intel CEO Bob Swan said: “We are very excited about the opportunity in 5G and the ‘cloudification’ of the network, but in the smartphone modem business it has become apparent that there is no clear path to profitability and positive returns.”

This also means other mobile manufacturers will need to look elsewhere for their 5G networking modems as Intel paved a clear way for Qualcomm. Last year, when the Apple-Qualcomm feud began turning nasty, Apple had switched to Intel for its 5G model. However, with time, Apple began to have concerns about Intel delivering the 5G models for the next iPhone.

Now it looks like Apple will be heading back to Qualcomm for next iPhones, while Intel will continue exploring 5G in other applications. The CEO also said, “5G continues to be a strategic priority across Intel, and our team has developed a valuable portfolio of wireless products and intellectual property. We are assessing our options to realize the value we have created, including the opportunities in a wide variety of data-centric platforms and devices in a 5G world.”

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