Apple signs multibillion-dollar deal with Broadcom for 5G components

Apple signed a new multiyear, multibillion-dollar deal with Broadcom to develop 5G radio frequency components.

The collaboration will include wireless connectivity components, Apple said in a statement on Tuesday.

The components will be designed and built in several US manufacturing hubs including Fort Collins, Colorado, where Broadcom has a major facility.

Apple already helps support more than 1,000 jobs in Fort Collins, and the partnership will enable Broadcom to continue to invest in automation projects, Apple said.

Multi-year collaboration to develop cutting-edge wireless connectivity and 5G components #connectedbybroadcom https://t.co/M0Ioc2v13X

— Charlie Kawwas (@CharlieKawwas) May 23, 2023

The iPhone maker is spending tens of billions of dollars to develop 5G technology in the US. These investments are part of the commitment Apple made in 2021 to invest $430bn in the US economy over the next five years. Apple said it’s on pace to meet its target.

Qualcomm shares fell 2 per cent after the news. Broadcom rose about 3 per cent.

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