American tech giant Apple on Tuesday announced that it has signed a multibillion-dollar deal with semiconductor manufacturer Broadcom Inc. to use microchips made in the United States.
Source. It is reported by Reuters.
As part of the long-term agreement, Broadcom will work with Apple to develop 5G radio frequency components that will be designed and manufactured at several US facilities, including a large Broadcom plant in Fort Collins, Colorado, Apple said.
Broadcom shares rose 4.3% in the premarket after the news. The chipmaker is already a major supplier of wireless components to Apple.
Apple said it would involve Broadcom in chips known as film bulk acoustic resonator (FBAR). The FBAR chips are part of the radio frequency system that helps the iPhone and other Apple devices connect to mobile data networks.
"All Apple products depend on technology designed and built here in the United States, and we will continue to deepen our investment in the U.S. economy because we believe strongly in America's future," said Apple CEO Tim Cook.
Apple said it has now created more than 1,100 jobs at Broadcom's Fort Collins FBAR filter plant.