Apple Supplier Broadcom Reportedly Phasing Out Wi-Fi Chip Business
Communications chip maker and Apple supplier Broadcom is planning to phase out its Wi-Fi chip business in order to streamline its workforce and product line, according to industry sources in Taiwan (via DigiTimes).
The move follows the company's recent acquisition by Avago Technologies and forms part of a larger strategy to allocate more resources for research and development in the fiber-optic and server sectors, according to the report.
The Wi-Fi chip business is said to yield relatively low gross margins for Broadcom compared to other product lines. Sources cited fierce price wars for mass-market applications such as notebooks, tablets, TVs and smartphones as the reason behind the decision to phase out the company's involvement in the sector.
Broadcom has reportedly almost halved the workforce stationed at its plant in Taipei, while companies such as MediaTek, Realtek Semiconductor and RDA Microelectronics have already received a pull-in of short lead-time orders from Broadcom's customers in the Wi-Fi chip sector.
It's unclear whether the phase out, if confirmed, is a disruption for Apple as it gears up for annual product refreshes across its desktop and mobile devices. Apple currently uses Broadcom chips in its Apple Watch, iPhones and iPads, as well as its line of Macs that support 802.11ac, including the MacBook Air, Retina MacBook Pro, and iMac.
Two years ago, Apple hired two high-level baseband hardware engineers who left their longtime positions at Broadcom to join an engineering team at Cupertino. In 2013, Apple acquired low-power wireless chip provider Passif Semiconductor. The acquisitions were seen as part of a larger strategy by the company to better control the development and production of its core technologies.
Popular Stories
A new Apple TV is expected to be released later this year, and a handful of new features and changes have been rumored for the device.
Below, we recap what to expect from the next Apple TV, according to rumors.
Rumors
Faster Wi-Fi Support
The next Apple TV will be equipped with Apple's own combined Wi-Fi and Bluetooth chip, according to Bloomberg's Mark Gurman. He said the chip supports ...
Apple will launch its new iPhone 17 series in two months, and the iPhone 17 Pro models are expected to get a new design for the rear casing and the camera area. But more significant changes to the lineup are not expected until next year, when the iPhone 18 models arrive.
If you're thinking of trading in your iPhone for this year's latest, consider the following features rumored to be coming...
Apple's next-generation iPhone 17 Pro and iPhone 17 Pro Max are only two months away, and there are plenty of rumors about the devices.
Below, we recap key changes rumored for the iPhone 17 Pro models.
Latest Rumors
These rumors surfaced in June and July:A redesigned Dynamic Island: It has been rumored that all iPhone 17 models will have a redesigned Dynamic Island interface — it might ...
The long wait for an Apple Watch Ultra 3 is nearly over, and a handful of new features and changes have been rumored for the device.
Below, we recap what to expect from the Apple Watch Ultra 3:Satellite connectivity for sending and receiving text messages when Wi-Fi and cellular coverage is unavailable
5G support, up from LTE on the Apple Watch Ultra 2
Likely a wide-angle OLED display that ...
iPhone 17 Pro and iPhone 17 Pro Max models with displays made by BOE will be sold exclusively in China, according to a new report.
Last week, it emerged that Chinese display manufacturer BOE was aggressively ramping up its OLED production capacity for future iPhone models as part of a plan to recapture a major role in Apple's supply chain.
Now, tech news aggregator Jukan Choi reports...
The iOS 26 public beta release is quickly approaching, while developers have recently gotten their hands on a third round of betas that has seen Apple continue to tweak features, design, and functionality.
We're also continuing to hear rumors about the iPhone 17 lineup that is now just about right around the corner, while Apple's latest big-budget film appears to be taking off, so read on...
