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Apple-Qualcomm Settlement Made Intel Exit 5G Race: Report

The company expects full-year revenue of $69 billion, down from the January guidance

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Apple, smartphone
Customers walk past an Apple logo inside of an Apple store at Grand Central Station in New York, Aug. 1, 2018. VOA

Chip making giant Intel has confirmed the “surprise” settlement between Qualcomm and Apple pushed it to exit the mobile 5G race, The Wall Street Journal has reported.

“In light of the announcement of Apple and Qualcomm, we assessed the prospects for us to make money while delivering this technology for smartphones and concluded at the time that we just didn’t see a path,” Bob Swan, CEO of Intel was quoted as saying by The WSJ late on Thursday.

The processor manufacturing giant on April 16 said it plans to cease working on modems for 5G, the next-generation of wireless technology expected to supercharge mobile connections.

The news that Intel had exited the 5G modem business came barely hours after the Qualcomm-Apple agreement was announced.

However, it wasn’t clear whether Apple and Qualcomm had made up due to the fact that Intel had pulled out of the 5G race.

Apple, Campus, China
A customer is entering the Apple store in Fairfax, Virginia. VOA

Intel had been working on a chipset for the iPhone maker, with the chip expected to be in iPhones by 2020.

The chip maker’s stock plunged nearly seven per cent on slashed revenue forecast for the full year and a flat first-quarter revenue at $16.1 billion.

Its data-centric revenue declined five per cent while PC-centric revenue grew four per cent in the first quarter of 2019, the chip-maker said in a statement on Thursday.

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Net income was $4 billion — down from the same quarter last year which reported $4.5 billion.

The company expects full-year revenue of $69 billion, down from the January guidance. (IANS)

Next Story

Social Networking Giant Facebook Blames Apple iOS for Bezos’ Phone Hacking

WhatsApp provides end-to-end encryption by default, which means only the sender and recipient can view the messages

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Social Media, Facebook, Authenticity, Posts
The social media application, Facebook is displayed on Apple's App Store, July 30, 2019. VOA

Facebook has blamed Apple’s operating system for the hacking of Amazon Founder and CEO Jeff Bezos’ phone, saying WhatsApp’s end-to-end encryption is unhackable.

Investigators believe that Bezos’s iPhone was compromised after he received a 4.4MB video file containing malware via WhatsApp – in the same way when phones of 1,400 select journalists and human rights activists were broken into by Pegasus software from Israel-based NSO Group last year.

In an interview to the BBC last week, Facebook’s Vice President of Global Affairs and Communications, Nick Clegg, said it wasn’t WhatsApp’s fault because end-to-end encryption is unhackable and blamed Apple’s operating system for Bezos’ episode.

“It sounds like something on the, you know, what they call the operate, operated on the phone itself. It can’t have been anything on the, when the message was sent, in transit, because that’s end-to-end encrypted on WhatsApp,” Clegg told the show host.

Clegg compared the hack to opening a malicious email, saying that “it only comes to life when you open it”.

According to a report from FTI Consulting, a firm that has investigated Bezos’ phone, after that the video file was received, Bezos’ phone started sending unusually large amounts of outbound data, including his intimate messages with his girlfriend Lauren Sanchez.

Jeff Bezos
Jeff Bezos, Amazon founder and owner of Blue Origin. (Wikimedia commons)

According to Clegg, “something” must have affected the phone’s operating system.

“As sure as you can be that the technology of end-to-end encryption cannot, other than unless you have handset, or you have the message at either end, cannot be hacked into,” he was quoted as saying.

Apple was yet to comment on Facebook’s statement.

The NSO Group has denied it was part of Bezos’ hacking.

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WhatsApp provides end-to-end encryption by default, which means only the sender and recipient can view the messages. But the piece of NSO Group software exploited WhatsApp’s video calling system by installing the spyware via missed calls to snoop on the selected users.

According to leading tech policy and media consultant Prasanto K. Roy, end-to-end encrypted apps (E2EE) do provide security, and messages or calls cannot be intercepted and decrypted en route without enormous computing resources.

“But once anyone can get to your handset, whether a human or a piece of software, the encryption doesn’t matter anymore. Because on your handset, it’s all decrypted,” Roy told IANS recently. (IANS)