But that does not mean Qualcomm has given up the confidence to regain the order.
Set of micro-network news, the past week for Qualcomm is not very good, not only cooked ducks fly, and now even other people's meat can not eat. At Qualcomm's latest earnings meeting July 25, George Davis, its chief financial officer, George Davis a message: ' On the next iPhone, Apple may only use our competitor's baseband chip product.
It also means that the partnership between Qualcomm and Apple since 2011 is about to change significantly.
You know, while Qualcomm doesn't have a clear idea of who this ' competitor ' is, the industry knows that the supplier that can meet Apple's demand for baseband chips in the IPhone is now one of the only ones left for Qualcomm. Qualcomm has been providing baseband chips for Apple, but in recent years Intel has supplied more than half of its chips to Apple's iphone due to patent licensing disputes between Apple and Qualcomm.
Reuters reported last year that Apple is designing iphones and ipads that do not have a Qualcomm chip, a change that could affect products released in the fall of 2018.
However, according to the Forbes, MacWorld, San Diego Tribune and other media reports, although Qualcomm lost the Apple baseband chip orders, but in the January 2018 earnings report, Qualcomm has said that the future of Apple will not exclude the new smartphone would not adopt Qualcomm baseband chip.
So when this news comes out, it is not a shock to the industry or investors, nor does it have much impact on Qualcomm's share price.
Add this to the news at the beginning of 2017, Apple has predicted, so it is not difficult to find that Qualcomm in the past few quarters has been trying to through its Xiao Dragon series products to strengthen performance.
For example, by raising the price of 600, 700, 800 series of chips, the market to improve the demand for Qualcomm RF chip, so as to ease the apple does not use the Gotongki band chip to the performance impact.
Given that Qualcomm still supplies Apple, including the iphone SE, the iphone 7, and iphone 8, including the baseband chip, it also means that there is no interruption of cooperation between the two sides. Although Qualcomm received the 2018 new phone baseband chip orders hopeless, but after 2019 orders, Qualcomm still has the chance.
Qualcomm President Cristiano Amon says he believes Qualcomm has the opportunity to remain Apple's supplier.
However, Apple is not a fuel-saving lamp, in addition to Qualcomm is expected to regain orders, the industry rumors that Apple has already launched the test from Samsung's baseband chip integrated into the iphone, which is also one of Intel's calculations, after all, the dual-supplier strategy has always been the principle of diversification of Apple's risk.
Not putting eggs in one basket is one of Apple's basic strategies for selecting upstream suppliers, and an obvious explanation is to bolster the IPhone's high profit margins. The most typical is the mobile screen, for example, last year, Samsung's OLED screen is the exclusive supplier of the IPhone X, but if only one person can provide, even Apple will not be able to negotiate the purchase price too much.
So it can be seen from the IPhone X bill of materials that the screen is the most expensive, even more than twice times the size of the processor, and ultimately the profit margin of the device is even less than the previous iphone 7. It's the same with baseband chips.