Tiernan Ray, writing for Barron’s Tech Trader Daily, fills us in on Bernstein’s latest analysis:
Bernstein Research’s Mark Li […] offered up a skeptical view of recent speculation that Intel (INTC) may be poised to win as much as half of the business supplying the wireless modem chip for Apple’s (AAPL) next iPhone model, at the expense of current supplier Qualcomm (QCOM).
On Intel’s modem, he outlines the shortcomings:
INTC does not have a mature modem […]. […] The first one, XMM726x, has only gained adoption in a few low-volume models since 2014 and field test track record has been spotty. The chip is made with 28nm and hence is not most competitive in power efficiency. The second chip, X3-C3440 (SoFIA LTE), is an SoC with an integrated processor, but Apple has its own processor & needs just a standalone modem. Plus, the chip is not yet ready. The third chip, XMM7360, despite featuring Cat 10, is not ready for mass production either. […]
We won’t hold high hope on INTC getting the business in the future but won’t rule that possibility out completely either.