Apple to Launch In-House Bluetooth and Wi-Fi Chip 'Proxima' in 2025, Reducing Broadcom Dependency

Dec 12, 2024, 07:46 PM

Apple Inc. is set to transition to its own in-house designed Bluetooth and Wi-Fi chip, codenamed Proxima, starting in 2025. This strategic move aims to reduce Apple's reliance on external suppliers like Broadcom Inc., which currently provides these components. The new chip will be introduced in devices such as the iPhone 17, Apple TV, and HomePod mini initially, with plans to extend to the iPad and Mac by 2026. This development is part of Apple's broader initiative to integrate its hardware components more tightly, enhancing energy efficiency and potentially enabling thinner devices and new wearable technology. Despite this shift, Apple will continue to use some Broadcom components, including radio frequency filters for modems, and is also collaborating with Broadcom on future cloud server chips. Broadcom, on the other hand, reported a significant increase in AI revenue, up 220% to $12.2 billion for the year, driven by demand for generative AI infrastructure. The company's CEO, Hock Tan, highlighted the massive opportunity in AI, expecting revenue from AI-related products to grow substantially in the coming years.