Apple and Qualcomm Renew Chip Licensing Agreement

Qualcomm has finalized the renewal of its global licensing agreement with Apple, which is scheduled to commence on April 1, 2027. This extension ensures that the semiconductor firm will maintain a consistent revenue stream from the consumer electronics manufacturer.

“We are pleased to extend the Apple license agreement,” remarked John Han, EVP and General Manager of Qualcomm Technology Licensing. The brief announcement did not disclose the specific duration of the new contract. Apple remains Qualcomm’s primary client, representing over twenty percent of the chipmaker’s annual revenue, although Apple continues its strategic shift toward developing proprietary silicon across its various device ecosystems.

The company’s iPhone Duo and 18 Pro models incorporate the internal C2 cellular modem, whereas the 18 Pro Max utilizes a Qualcomm Snapdragon 5G modem for the U.S. market. In its latest financial report, Qualcomm noted a 20% decline in handset chip sales to $5.1 billion, a trend CEO Cristiano Amon linked to a market trough in China following reduced orders from manufacturers facing memory supply volatility.