July 6, 2026 — Broadcom Inc. has secured a multi-year agreement to supply custom chips for Apple through 2031, covering multiple generations of iPhones, Macs, and other Apple devices, according to a Bloomberg report published today.
The expanded partnership goes far beyond 5G and wireless components — Broadcom is now also collaborating with Apple on custom AI server chips, positioning both companies at the heart of the ongoing artificial intelligence infrastructure boom.
A Decade-Long Relationship Deepens
Broadcom has been a crucial Apple supplier for years, providing key 5G modem components, wireless charging chips, and RF filters that power nearly every iPhone, iPad, and Mac on the market. The new deal, however, represents a significant expansion in scope and duration.
Under the terms of the agreement, Broadcom will design and manufacture custom silicon for “multiple generations of Apple products” through 2031. This is unusually long for a chip supply contract, reflecting the deepening interdependence between the two tech giants.
AI Server Chips: The Strategic Prize
Perhaps the most intriguing aspect of the deal is Broadcom’s involvement in Apple’s AI server chip efforts. As Apple pushes deeper into on-device and cloud-based artificial intelligence — including Apple Intelligence features across iPhone, iPad, and Mac — the need for custom server-grade silicon has become critical.
Broadcom’s expertise in high-performance networking and data center chips makes it a natural partner. The company’s Tomahawk and Jericho switch families are already deployed in major cloud data centers worldwide. Combining that with Apple’s chip architecture expertise could yield powerful AI inference servers optimized for Apple’s ecosystem.
What This Means for Apple Products
- More advanced 5G and wireless connectivity in future iPhones and iPads
- Better power efficiency through tightly integrated custom silicon
- Improved AI performance as Apple’s server infrastructure scales
- Supply chain stability — locking in Broadcom through 2031 reduces component risk
Apple has been aggressively reducing its reliance on third-party chip vendors, transitioning Macs to Apple Silicon and developing its own cellular modems. The Broadcom deal signals that Apple isn’t going it alone entirely — it’s picking strategic partners carefully for areas where external expertise adds clear value.
Market Reaction
Broadcom shares rose approximately 2% in pre-market trading following the news. The company, which surpassed a \ trillion market capitalization in April 2026, continues to ride the AI and custom silicon wave alongside NVIDIA, TSMC, and other semiconductor giants.
Frequently Asked Questions
Q: Will this affect iPhone prices?
A: Not directly. Locking in long-term supply typically helps stabilize component costs, which can prevent price increases. However, final pricing depends on many factors beyond chip supply.
Q: Is Apple abandoning its own chip development?
A: No. Apple continues to design its own A-series and M-series processors. The Broadcom partnership focuses on complementary components — wireless, networking, and specialized AI server chips — where Broadcom’s expertise adds value.
Q: When will products with these new Broadcom chips launch?
A: The deal covers products through 2031, so the first devices featuring next-generation Broadcom custom chips will likely arrive in the next 12–24 months.
Source: Bloomberg, The Verge — July 6, 2026