Apple now designs the brains of its computers and phones in-house. Its attempt to do the same for the chips that connect them to the internet could have a big impact on the company and its competitor.
Which firm dominates the making of modem chips? What evidence do we have that barriers to entry for modem chips are high?
In the face of such high barriers to entry, why does Apple nonetheless want to make its own modem chips? What are the strategic advantages to Apple?
Is Apple going to make its own modem chips the way Tesla is making its own car batteries? Is this the right analogy for thinking about the strategy of Apple? Why or why not?
Apple’s Plan for the Microchip Market: Please read the article
https://www.wsj.com/articles/apples-not-so-secret-plan-to-take-another-gigantic-bite-of-the-microchip-market-11651291235 (Links to an external site.
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