Qualcomm Inc. QCOM, +0.97% said in a post-earnings conference call Wednesday that Apple Inc. AAPL, +0.94% would rely solely on a competitor’s modem chips in its next iPhone, almost assuredly referring to Intel Corp.
INTC, +0.48% Apple had been splitting iPhone modem duties between Qualcomm and Intel, which did not offer CDMA connections in its wireless modems.
Previous reports have said that if Intel adds CDMA, as it has, it could win all the share in future iPhones, and Qualcomm seemed to confirm that Wednesday.
“We believe Apple intends to solely use our competitors’ modems rather than our modems in its next iPhone release,” Qualcomm Chief Financial Officer George Davis said while discussing the company’s fourth-quarter forecast. “We will continue to provide modems for Apple legacy devices.”
The announcement didn’t immediately hurt Qualcomm stock, which was up more than 7% after announcing an earnings beat and plans to drop acquisition plans for NXP Semiconductors NV. NXPI, -2.27%
