A new report from Bloomberg’s Mark Gurman says that Apple is ready to launch a three-stage plan to replace Qualcomm’s modems in the next iPhones.

Gurman says the first phone to be updated will likely be the 2025 iPhone SE in the summer. Apple is hopeful with its tech and plans to have a modem so advanced by 2027 that it will overtake Qualcomm’s version.

The report states that Apple had hoped to replace Qualcomm’s modem as early as 2021, but setbacks have pushed back the project until 2025. It also mentions that Apple has spent roughly $1 billion to buy Intel’s modem group and millions more hiring engineers to build Apple’s upcoming modems.

Qualcomm reportedly receives roughly 20 percent of its revenue from Apple by selling modems, but it has been preparing to offset this in other avenues like its newly launched laptop chips.

The first version of the Apple modem will be released in 2025 on the iPhone SE as a testing bed. Apple didn’t want to launch it on the new mainline phones in case something goes wrong and causes backlash. The report also mentions that this first-generation modem isn’t as powerful as Qualcomm’s modems since it won’t support mmWave tech, which is primarily used in the U.S. That being said, the new modem will still theoretically be able to pull down four gigabits per second, making it more than fast enough for most users.

Gurman says that the Apple modem will draw less power and support better satellite connectivity features, helping Apple maintain its lead in satellite connectivity.

The second-generation Apple modem in 2026 is expected to be more on par with Qualcomm and be used in high-end iPads and the iPhone 18 series. Then, in 2027, the third Apple modem is rumoured to be even more powerful than Qualcomm’s offerings. Gurman also wonders if this will lead to Apple integrating cellular connectivity into its laptops.

Source: Bloomberg