Apple’s C1 cellular modem, which debuted with the iPhone 16e, has shown promising results, prompting the company to consider incorporating its own modems into more devices, including the iPhone 17. This move aims to reduce dependence on Qualcomm and cut costs associated with licensing fees. During Qualcomm’s recent earnings call, CFO Akash Palkhiwala highlighted that the company would see a reduced share in the upcoming iPhone 17 launches, suggesting that the base model iPhone 17 and the anticipated iPhone 17 Air are likely to feature Apple’s modems.
Qualcomm’s decreased involvement could point to Apple’s strategic shift towards improved hardware and software integration. Apple has faced challenges while developing its cellular modem, driven primarily by the desire to avoid Qualcomm’s licensing fees. This effort will not only enhance the efficiency of the devices but may also lead to better overall performance and battery life, similar to the synergies observed by companies like Samsung in their use of Exynos modems.
The C1 modem has provided Apple with valuable real-world data, proving its capability in various aspects, including battery efficiency. The potential introduction of Apple’s cellular modems into flagship models like the iPhone 17 and a replacement for the iPhone Plus, known as the iPhone 17 Air, indicates the company’s confidence in its technology. The iPhone 17 Air may benefit from the in-house modem given its slimmer design, which could affect battery capacity.
Looking ahead, it is likely that Apple will fully transition to its modems with the iPhone 18 series, potentially delivering a significant blow to Qualcomm’s dominance in the smartphone modem market. This shift could redefine the competitive landscape and enhance Apple’s product ecosystem.