Apple Inc. AAPL could confirm its move away from Intel Corporation INTC and unveil its own Mac chips as early as this month at its Worldwide Developer Conference, or WWDC, which is scheduled to virtually this year June 22-26, Bloomberg reported Tuesday.
Intel chips have been Apple's mainstay for its Mac devices since 2006.
Bloomberg previously reported on speculation on this development in late April.
Apple Reportedly Prepping 2021 Launch: Apple is planning to release Mac devices powered by its own chips in 2021.
Unveiling of the chips at the WWDC will give outside developers enough time to adjust ahead of the rollout of the new Macs in 2021, Bloomberg said, citing people familiar with the plans.
With Apple settling for technology licensed from Arm, which has a different architecture than Intel, developers would need to optimize their software for the new components, according to Bloomberg.
These chips are being developed under a project codenamed Kalamata.
Apple could cut down on costs with a move away from Intel, BofA analyst Wamsi Mohan said in a note. The analyst sees R&D expenses being trimmed as development across iOS and MacOS is aggregated.
The analyst also said a phased transition is likely.
How Intel Could Be Impacted: Apple's share of the PC market was about 7% in 2019, according to Gartner. Intel's top-line, therefore, isn't likely to be hurt severely by the potential supplier shift. With Apple signaling that the move is for performance reasons, more PC makers could follow suit, the report said.
At last check, Apple shares were adding 3.5% to $345.13.
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Photo courtesy of Apple.
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