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Technology Stocks : Apple Tankwatch
AAPL 210.83+6.2%3:59 PM EDT
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From: Jon Koplik2/21/2025 12:44:14 PM
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Qualcomm to begin phasing out support for Apple cell phones. Plans to divert resources to more profitable projects.

Citing declining iPhone sales and the expense of supporting a shrinking and isolated ecosystem, an anonymous source said that QCOM plans on moving resources that are currently dedicated to Apple products to more lucrative projects.

Apple has long been spending billions in a lackluster effort to produce an inferior modem for their iPhones. The process has shown that QCOM could leverage the resources used to produce their superior modems for the iPhone into businesses with much greater growth and profit margins. QCOM will still collect royalties from Apple even when Apple completely switches to their own underperforming modem so there is no downside to the plan.

Qualcomm has been highly successful in diversifying their business away from cellular phones and is now the leading player in Automotive chips, commercial IoT, industrial IoT, and most excitingly AI on the edge. Additionally, QCOM's foray into Windows on ARM has developed into another profit stream with the company already commanding a 10% market share in less than a year with plans to expand their offerings into more Window's based computers.

"Apple knows they don't need a great product to keep their customer base. Apple consumers are a cult and Apple knows that spending money on better products with a focus on innovation is a waste of money. QCOM focuses on innovation and driving markets forward" the source said. "A walled garden approach can be profitable for a period of time but is ultimately doomed to failure as innovation and progress fall by the wayside. This can already be seen in the new iPhone Apple has released which is inferior in every way to similar offerings in the Android ecosystem of two years ago."

No one from Apple or QCOM was contacted to comment on this article. In fact, it may be entirely fictional. This is the internet after all.

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