SiTime: Exclusive Supplier of MEMS Oscillators for Apple’s In-House Modem, Set for Robust Growth in Coming Years Driven by New Orders

As the iPhone adopts Apple’s modem, the company has swapped traditional quartz crystal oscillators for SiTime’s MEMS oscillators. Here’s why:

1.Before Apple acquired Intel’s modem business in 2019, that division had collaborated closely with SiTime. When Apple moved to its own modem design, integrating SiTime’s MEMS oscillators was a seamless next step.

2.SiTime’s MEMS oscillators outperform traditional quartz crystal oscillators in miniaturization and power efficiency—key factors that align perfectly with Apple’s design priorities.

Winners and Losers:

1.Qualcomm modems rely on three quartz crystal oscillators (32KHz, 24MHz, and 76.8MHz) sourced from suppliers like TXC, Epson, KED, NDK, and KDS.

2.Apple’s in-house modem now uses just one 24MHz quartz crystal oscillator, replacing the other two (32KHz and 76.8MHz) with SiTime’s MEMS oscillators.

3.SiTime emerges as the clear winner, while TXC, Epson, KED, NDK, and KDS lose out.

4.Apple benefits too. Although switching to MEMS oscillators adds about $0.8 to modem oscillator costs, ditching Qualcomm’s solution saves $10-15 in material costs per unit.

Apple’s Orders Set SiTime Up for a Strong Run:

1.Shipments of Apple’s in-house modems are expected to hit 42 million units in 2025, 110-130 million in 2026, and 250-300 million in 2027, mainly for iPhones.

2.Each modem pairs with two SiTime MEMS oscillators (32KHz and 76.8MHz), priced at $0.9-1.0 combined. It translates to roughly $40 million in revenue for SiTime in 2025, $110 million in 2026, and $240 million in 2027. With SiTime’s 2024 revenue at $200 million, this Apple-driven boost signals robust growth through 2027.

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