Broadcom said on Monday it has agreed to expand its partnership with Apple through 2031 to develop and supply custom chips. The announcement extends a relationship that already included a multibillion-dollar 5G deal announced in 2023.
The extended pact covers the design and supply of custom chips, though specific financial terms were not disclosed. Apple has long relied on Broadcom for critical wireless components, including those used in iPhones and other devices.
In 2023, the companies unveiled a multibillion-dollar 5G deal, according to Reuters. That agreement was seen as a major win for Broadcom, securing its position as a key Apple supplier for years to come.
The extension through 2031 suggests Apple is betting on Broadcom's chip capabilities for its next-generation products. It could also signal an intention to deepen vertical integration of semiconductor design and supply.
Some analysts have warned that over-reliance on a single major customer like Apple poses risks for Broadcom, though the deal provides long-term revenue visibility.