Apple to Replace Broadcom Components

Investing.com — Apple Inc is set to replace Broadcom components with its own in-house chip for Bluetooth and Wi-Fi connections starting next year, according to Bloomberg.

The chip, code-named Proxima, has been in development for several years and is expected to debut in products by 2025. Taiwan Semiconductor Manufacturing (NYSE: TSM) will produce the chip, as it does with Apple's other in-house components.

This move is distinct from Apple's planned shift away from Qualcomm Incorporated (NASDAQ: QCOM)'s cellular modems, although the two parts will ultimately work together.

Apple aims to develop an integrated, energy-efficient wireless approach, as reported by Bloomberg sources.

Representatives for Apple and Broadcom declined to comment on the news.

Broadcom Inc (NASDAQ: AVGO) shares fell 2% following the announcement, while Apple Inc (NASDAQ: AAPL) rose nearly 1% in recent trading.