Apple says it will resume selling banned iPhone 7 and 8 models in Germany using only chips from Qualcomm, after it had “no choice” but to stop using Intel chips
#Qualcomm-based variants of #iPhone 7 and iPhone 8—exacerbates $QCOM's #antitrust woes http://www.fosspatents.com/... #patents #patent #competition @EU_Competition #dgcomp #eu #intel #qorvo (At least 5 German QCOM v. $AAPL cases pending.)
Context & Ripple Effects
Two months ago a Munich court injunction forced Apple to pull iPhone 7 and 8 from its 15 German retail stores — part of a broader Qualcomm enforcement campaign that also produced a preliminary Chinese injunction against iPhones 6S through X. Rather than fight the German ruling further, Apple is resuming sales with a workaround that carries real cost: dropping Intel modems entirely for those models.
The move matters because it shows how injunction-based patent enforcement converts directly into supplier lock-in — Apple's stated 'no choice' framing concedes that Qualcomm's litigation position, not its pricing, dictated the bill of materials.
First-order effects
- Intel loses its role as a modem supplier for iPhone 7 and 8 in Germany, leaving Qualcomm as the sole chip source for those models there — an immediate revenue win for Qualcomm on every unit sold.
Second-order effects
- Qualcomm's courtroom wins in Germany and China give it leverage beyond royalties: with at least five more German cases pending per the coverage, each ruling raises the price of Apple staying dual-sourced, pressuring Intel's standing as the alternative modem vendor.
Third-order effects
- If injunction-driven exclusivity keeps eroding dual sourcing, Apple's path runs toward consolidating modem supply with Qualcomm — a direction consistent with reports that concern over Intel as a sole 5G supplier ultimately drove the two companies to settle.
The trend: Patent injunctions are reshaping smartphone component sourcing, forcing even the largest buyers from multi-vendor modem strategies back toward single-supplier dependence on Qualcomm.