Consider Irvine-based chipmaker Broadcom Corp. a winner when it comes to Apple Inc.’s latest smartphone models.
Teardown specialists from San Luis Obispo-based ifixit.com revealed a Broadcom chip powers touch functions on the iPhone 6 and 6 Plus phablets. FBR & Co. analyst Christopher Rolland said in an investor note that the specs in a Wi-Fi networking chip from Kyoto, Japan-based Murata Manufacturing Co. led the investment bank to believe that Broadcom “maintained all content” in it.
Canaccord Genuity analyst Matthew Ramsay echoed those sentiments, contending the advanced communications chips may bring in an additional 15% to 25% more than prior Broadcom combo chips supplied in earlier iPhone models.
The Murata-marked component is an interesting development, considering Broadcom had clearly branded its Wi-Fi and combo chips in earlier iPhone models (see story on Apple Watch, page 3).
FBR forecasts Apple will turn out 190 million units of the new iPhones in the next year, with Broadcom’s connectivity chip one of the more expensive components in the phone, at around $4.50 apiece. That equates to an $850 million boost for Broadcom, whose revenue was $8.3 billion last year.
South Korea-based Samsung Electronics Co. overtook Apple in 2012 as Broadcom’s largest customer, a designation the Cupertino electronics makers held the previous two years. Apple remains a significant customer, accounting for 13.3% of Broadcom’s revenue last year, or roughly $1.1 billion.
Sales of the iPhone 6 and iPhone 6 Plus surpassed 10 million units in their first three days on the market after the Sept. 19 launch, setting a new Apple record.
Fighting Chance for App
Fountain Valley-based startup MEDL Mobile Holdings Inc. has entered the ring with mixed martial arts welterweight contender Jake Ellenberger.
The co-host of MMA Roasted on Fox Sports and former U.S. Marine reservist has been named the official spokesperson of MEDL’s newest application, “Hang w/,” which allows fans to follow their favorite musicians, athletes and actors through a live stream with simultaneous chat. Ellenberger will take followers inside the ropes during sparring matches, in the training room during workouts, and in the Octagon on fight nights.
The fighter, who has a 28-9 record with 18 knockouts, will wear Hang w/ branded trunks and warm-up gear during matches televised on Fox and Pay-Per-View cable outlets.
“Hang w/” has surpassed more than 1 million downloads since its March launch, leveraging more than 100 celebrities to spread the word through their legions of followers. The eccentric list includes Cheech and Chong, Larry the Cable Guy, Terrell Owens and 50 Cent, who invested an undisclosed amount in the company last year.
MEDL, traded on the over-the-counter Bulletin Board under the symbol MEDL, posted revenue last year of about $2.3 million and a loss of $2.8 million.
Bits & Pieces
The CleanTech OC 2014 Conference and Expo will be this week at the Hotel Irvine. The fifth annual marquee event held by Irvine-based nonprofit group CleanTech OC is expected to draw about 400 entrepreneurs, industry leaders, investors and policy makers, among others, for the only dedicated conference in OC covering the developing clean-tech segment.
