Apple just dropped $30 billion on its relationship with Broadcom, and the chipmaker’s shareholders are feeling pretty good about it. The expanded partnership, which runs through 2031, covers custom silicon chips and wireless technology components for future Apple devices, making it one of the largest supplier commitments in consumer tech history.
Broadcom’s stock climbed several percent on the news.
What the deal actually covers
The agreement focuses on two main areas: custom silicon development and advanced wireless components. Broadcom has long been Apple’s go-to supplier for critical connectivity hardware, providing the 5G, Wi-Fi, and Bluetooth technologies that make iPhones, iPads, and Macs talk to the outside world.
Under the expanded deal, the two companies aim to produce more than 15 billion chips manufactured in the US.
