Apple formed a new team to develop wireless chips, which eventually replaced components such as Broadcom

Driving China on December 17, 2021, the latest job postings show that Apple is forming a new team of engineers in Southern California to develop wireless chips that could eventually replace components provided by companies such as Broadcom and Skyworks Solutions, reducing reliance on third-party chipmakers.

Apple is understood to be recruiting dozens of engineers at Irving to develop wireless chips, and Broadcom, Skyworks and other companies also have offices in Irving. A recent job listing shows that Apple needs employees with extensive experience in modem chips and other wireless semiconductors.

The move is part of Apple's broader strategy to expand its engineering team in order to attract tech employees who may not want to work at silicon valley headquarters. The practice also helps Apple further its goal of making more parts.

After the announcement of the above recruitment information, the stock prices of wireless chip manufacturers have fallen. Skyworks fell as much as 11 percent, its biggest intraday drop since March 2020. Broadcom (and Qualcomm shares fell more than 4% each.) An Apple spokesperson declined to comment on Irving's project.

Representatives of Broadcom and Skyworks did not respond to requests for comment.