Infineon had previously supplied Apple with a chip known as a baseband processor that helps connect the phone to wireless networks. Infineon still has a small chip in the iPhone, but Mr. Rassweiler said it’s far less significant, and a lot less costly, than the one it supplied Apple before.
“It’s almost like Apple threw them a bone with a 50-cent part after they lost a much more high-profile chip that cost about $10,” he said.
- What’s inside the iPhone 4S? Cellular-Solutions.co.uk, October 20, 2011.
2. With a vote on its acquisition of MetroPCS imminent, T-Mobile parent Deutsche Telekom is trying to mollify angry shareholders by throwing them a bone. It’s offered to reduce the debt the new company will carry, reduce the interest rate on the debt, and triple the amount of time it must hold onto the new stock before it can sell it.
Despite having passed all the necessary regulatory hurdles, the merger is in danger of falling apart as major shareholders and institutional services alike say the deal is not favorable to MetroPCS stockholders.
While there’s been a war of words going on between the major participants, T-Mobile’s CEO certainly won himself no fans after calling hedge fund operator John Paulson “greedy.” Particularly after Institutional Shareholder Services came out blasting the deal as well, backing the contention of Paulson and P. Schoenfeld Asset Management that because T-Mobile has so underwhelmed the markets, MetroPCS shareholders need to be better compensated for the risk of turning control over to Deutsche Telekom.
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