Apple Inc. and Broadcom Inc. have announced a multi-billion-dollar deal that will see the chipmaker develop 5G radio frequency components for Apple, designed and built in several U.S. facilities. The components, known as film bulk acoustic resonator (FBAR) chips, are part of a radio-frequency system that helps iPhones and other Apple devices connect to mobile data networks.
Apple CEO Tim Cook said in a statement, “All of Apple’s products depend on technology engineered and built here in the United States, and we’ll continue to deepen our investments in the U.S. economy because we have an unshakable belief in America’s future.” The deal will support more than 1,100 jobs in Broadcom’s Fort Collins FBAR filter manufacturing facility.
Broadcom shares were up 4.3% in premarket trading after the announcement. The chipmaker is already a major supplier of wireless components to Apple.