According to Bloomberg , the chip codenamed Proxima has been in development for several years and is expected to appear in the first products in 2025. Like other Apple internal chips, Proxima will be manufactured by partner TSMC.

Apple's goal is to develop an end-to-end wireless solution that is tightly integrated with other components and more energy efficient.

Apple is one of Broadcom's biggest customers, accounting for about 20% of its revenue.

apple bloomberg
Wi-Fi and Bluetooth chips ensure Apple devices can go online wirelessly and pair with peripherals like headphones and speakers. Photo: Bloomberg

The two new components mark a major shift for Apple’s hardware engineering group, which is led by senior vice president Johny Srouji and creates the main processors for iPhones, iPads and Mac computers.

Now, Apple will control how devices connect to cellular and Wi-Fi networks, areas where other chipmakers have long had an advantage, improving the user experience and paving the way for new device formats, like thinner iPhones and wearable technology.

Apple will start rolling out Wi-Fi and Bluetooth chips inside new home devices next year, including TV set-top boxes and the HomePod mini smart speaker. The company also aims to bring them to iPhones by the end of next year and to iPads and Macs by 2026.

While it will replace Broadcom's combined Wi-Fi and Bluetooth components in Apple devices, Broadcom will still provide the radio frequency filters for the modem.

Apple is also working with Broadcom on next-generation cloud server chips, according to The Information.

The Proxima chip isn’t Apple’s first foray into wireless. The company has long designed custom wireless components for AirPods and the Apple Watch.

But applying in-house design to such an essential component of its most important products — the iPhone, iPad, and Mac — carries risks for Apple.

Wi-Fi and Bluetooth chips ensure Apple devices can get online wirelessly and pair with peripherals like headphones and speakers. They're key parts of the Apple experience, and customers can tell if there's a problem.

Broadcom is the market leader in wireless components, and Apple may not be able to match the company's prowess with its first-generation Wi-Fi chips.

However, it still supports the Wi-Fi 6E standard, which offers better bandwidth and higher speeds.

With self-developed wireless chips inside smart home devices, Apple products will work more closely together and be able to sync data faster.

The company is planning to push the smart home further by releasing an AI-powered hub that can sit on a table or mount to a wall.

The company has also developed security cameras that can pair with other home devices.

(According to Bloomberg)