Apple inks multi-billion-dollar deal with Broadcom for US-made chips

Apple Inc on Tuesday said it has entered a multi-billion-dollar deal with chipmaker Broadcom Inc to use chips made in the US, Azernews reports, citing Al Arabiya.

Under the multi-year deal, Broadcom will develop 5G radio frequency components with Apple that will be designed and built in several US facilities, including Fort Collins, Colorado, where Broadcom has a major factory, Apple said.

Broadcom shares were up 4.3 percent in premarket trading after the announcement. The chipmaker is already a major supplier of wireless components to Apple.

Apple said it will tap Broadcom for what are known as film bulk acoustic resonator (FBAR) chips. The FBAR chips are part of a radio-frequency system that helps iPhones and other Apple devices connected to mobile data networks.