Published: Fri, December 01, 2017
Technology | By Russell Knight

Apple Could Be Designing Its Own IPhone Power Chips By 2018

Apple Could Be Designing Its Own IPhone Power Chips By 2018

Apple is designing its own power-management chips for use in iPhones from as early as 2018, reducing its dependence on Dialog Semiconductor, Japan's Nikkei reported, without identifying its sources.

Needless to say, Dialog Semiconductor shares are down 17 percent since the news broke. One prediction suggests that Apple is going to meet nearly half of the demand for the iPhone's power management chips itself by next year.

The Nikkei business daily quoted one source saying iPhone would make about half its own power-management chips, starting next year, with another source saying this could be delayed until 2019. Additionally, these chips are one of the most crucial and expensive components after core processors, modems and memory chips respectively.

Handout iPhone SE
Apple to design power chips in-house as early as 2018: Sources

Dialog shares fell as much as 23 percent to 28.53 euros in Germany.

Apple did not immediately respond to a request for comment.

About Apple Apple Inc (Apple) designs, manufactures and markets mobile communication and media devices, personal computers, and portable digital music players, and a variety of related software, services, peripherals, networking solutions, and third-party digital content and applications.

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The main power management chip controls an iPhone's charging function, battery management, and energy consumption. Dialog stock was trading down 16 percent in Frankfurt trading at 31.01 at 1420 GMT on Thursday.

The chipmaker is the sole provider of power chips for Apple, but if Nikkel's sources familiar with the matter are reliable, then that could change very soon. "I can imagine that this will happen, but not as fast", Brass said in an interview.

Apple is reportedly developing in-house power management chips that could debut in next year's iPhones.

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