Apple will be acquiring a majority of Intel’s smartphone modem business. The value of the transaction is around $1 billion. This also means that along with the intellectual property, equipment, technology and leases, approximately 2200 Intel employees will join Apple. The transaction will be closed in the fourth quarter of this year.
With this acquisition, Apple will hold more than 17,000 wireless technology patents, including its current and existing portfolio. These technology patents range from protocols for cellular standards to modem architecture and modem operation. Intel, on the other hand, will retain the ability to develop modems for non-smartphone applications, such as PCs, internet-of-things devices and autonomous vehicles.