Intel exits 5G handset market as Qualcomm and Apple make peace

X Scalper

In a surprise move, Apple and Qualcomm finally agreed to end their long-term beef, and sign a six-year license agreement deal. Apple will also pay an undisclosed amount to the chipmaker as part of the settlement.

Hours after this announcement, Intel said that it’s exiting mobile 5G modem market, paving way for a Qualcomm–modem powered iPhone in the future:

Intel Corporation today announced its intention to exit the 5G smartphone modem business and complete an assessment of the opportunities for 4G and 5G modems in PCs, internet of things devices and other data-centric devices.

Before we discuss what this means for the future of these companies, let’s take a look at the timeline of this saga. In 2017, Apple filed an anti-trust lawsuit against Qualcomm for $1 billion. The iPhone-maker accused Qualcomm of charging a higher fee for using their patents if they chose a competitor’s product. In return, the chipmaker filed a countersuit claiming that Apple throttled its chips in the iPhone 7, and tried to ban Apple devices in multiple countries.

This fight forced Apple to use Intel modems for last year’s iPhone models – the iPhone Xs, the iPhone Xs Max, and the iPhone Xr. Earlier this year, the company said that Qualcomm refused to sell parts to the iPhone-maker.