Apple has agreed with Dialog Semiconductors to add 300 of its computer chip engineers to its team in a deal that is the biggest takeover in headcount terms.
The engineers work for Dialog Semiconductors, a Reading-based company that it has acquired for $300m (£227m) The acquisition of the 300 engineers also includes the Company’s patents and facilities.
Apple has long used Dialog’s products to monitor and control power consumption in its iPhones and iPads.
‘Dialog has deep expertise in chip development and we are thrilled to have this talented group of engineers who have long supported our products now working directly for Apple,’ said the handset maker’s hardware technologies chief Johny Srouji.
Staff involved are based in Swindon. Livorno, Italy, Nabern, Germany, Neuaubing, Germany.
Apple already designs its own computer processing units (CPUs) and last year announced it was ending a partnership with another UK company, Imagination Technologies, to create its own in-house graphics processing units (GPUs) too.
Dialog’s shares saw a 20% tumble last November when rumours came out it planned to phase out Dialog’s components. However, Apple has announced it has prepaid dialog $300m to secure products from it over the next three years.
Dialog said it expected the deal would be completed within the first six months of 2019.
One expert noted that Apple had a reputation for liking to be in control.
‘In the industry, this kind of move is known as being more vertically integrated,’ said Ian Cutress, senior editor at the engineering-focused news site AnandTech.
‘It’s something that’s already true of Samsung and its smartphones – for example, it also makes its own displays.
‘The benefits for Apple having full control at the component level should be lower overheads and therefore reduced costs.
‘But a downside could be there’s less fallback if something goes wrong.’
Dialog shares have risen more than 26% following the announcement this morning.