Apple confirms deal with chipmaker worth up to $600 million


TApple is closing on a deal with European Chipmaker Dialog Semiconductor to further enhance its internal chip design teams. The deal is a combination of acquiring facilities, transfer of employees and licensing. Apple is paying $300 million in cash with a commitment for an additional $300 million that could account for the remain parts of the company. Apple has reportedly worked with Dialog since the original iPhone.

TechCrunch:

The deal â€" which is expected to close in the first half of 2019, pending regulatory approvals â€" comes at a time when many expect Apple to release a VR headset in the future, and while our sources haven’t told us specifically about this, what we do know is that one big, more general focus for the company is to continue working on power management and chips that are more efficient in that regard, particularly considering the newest devices that Apple has added to its range: AirPods headphones and the Watch â€" wireless, high-performing hardware.

This could be Apple expanding to new capabilities, as suggested with VR. It could also be about Apple bringing more of its chip R & D in-house to control and direct future efforts. Apple's chip technology is paying off in the iPhone and likely will see strategic product advantages in other devices in years to come.