Without a new Qualcomm deal, LG will likely have to completely halt sales of its newly introduced 5G device, the LG V50 ThinQ 5G:
"major operating activities." Given today's unpredictable political climate and rising trade tensions between the US and China, relying too heavily on outside sources — especially those in other countries — for fundamental components has quickly become a major risk for all smartphone makers.Smartphone companies need to bring modem production in-house so that they can better control their supply chains and production timelines.
Bringing modem development and production in-house is by no means an easy feat, as it requires heavy investments in new facilities, machinery, and employee development. But it still seems to be the logical next step for smartphone makers.in talks to acquire Intel's German modem unit in an effort to develop its own tech.
What's more, proprietary modem production could even become a revenue opportunity if companies choose to sell their own chips to other device makers. Samsung is increasingly seeing the chip market as a growth opportunity, with the firm pledgingSubscribe to apass to Business Insider Intelligence and gain immediate access to the Connectivity & Tech briefing, plus more than 250 other expertly researched reports.
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