Apple has officially introduced its first in-house cellular modem, named C1, which replaces the Qualcomm chips previously used for 5G connectivity in iPhones. The C1 modem debued in the iPhone 16e, Apple’s latest entry-level model, which replaces the iPhone SE line. According to Apple, the C1 modem is the most power-efficient modem ever included in an iPhone, promising fast and reliable 5G cellular connectivity, which is crucial for its performance evaluation.
While the iPhone 16 and iPhone 16 Pro will continue to use Qualcomm chips for now, Apple is expected to assess the C1 modem’s performance in real-world conditions before potentially incorporating it into future flagship models. The C1 modem does not support the high-speed mmWave 5G technology. Apple has been working on this modem since acquiring Intel’s cell modem business in 2019 and is now taking significant steps toward achieving self-sufficiency in 5G technology.
Why do we care?
Chips are interesting again. Apple wants to own its entire hardware stack, reducing reliance on third-party suppliers like Qualcomm. Just like it did with the transition from Intel to Apple Silicon in Macs, Apple is now making moves to control its modem technology. Apple wants to build a fully integrated connectivity stack, optimizing performance across hardware, software, and services (think satellite connectivity, private 5G, or future AI-driven network optimizations).
By limiting the C1 modem to an entry-level device, Apple can quietly test real-world performance without risking network issues on its premium models. If the modem underperforms, only budget-conscious consumers are affected, not high-end iPhone users. There’s a lesson here about staged rollouts.
That’s why I highlighted this strategy, buried within the iPhone 16e announcement.