Broadcom and Apple Renew Chip Deal, Extending Partnership to 2031

Broadcom and Apple have quietly extended one of the semiconductor industry’s most consequential partnerships. The chipmaker disclosed in a Form 8-K filing with the SEC on Monday that it has signed a new multi-year agreement with Apple, pushing their technical collaboration through 2031.

Under the terms, Broadcom will develop and supply custom ASIC chips across multiple future generations of Apple products. The companies didn’t disclose the financial details, but the trajectory is clear — this is a relationship that keeps getting bigger.

Apple’s stock jumped 4.84% on Friday before the filing was made public. Broadcom shares had dipped 2.41% on Friday but recovered in pre-market trading Monday, climbing more than 4%.

The two companies’ ties run deep. Broadcom has supplied Apple with radio-frequency front-end components, wireless modules, and other critical parts for years. In May 2023, they announced a multi-billion-dollar deal under which Broadcom would develop key 5G radio-frequency components in the United States for Apple.

That 2023 agreement was itself an escalation. In January 2020, the pair struck a roughly $15 billion wireless components supply deal covering devices released through mid-2023. And going back further, June 2019 brought a two-year exclusive agreement for RF front-end components powering iPhones, iPads, and Apple Watches.

The 2031 extension suggests Apple sees Broadcom’s custom ASIC work as a long-term bet worth locking in now — a signal that the two companies are planning around each other’s roadmaps for years to come.