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Qualcomm's shares fell 3 per cent on Monday after two brokerages said Apple might drop the chipmaker in favor of Intel as the supplier of modem chips in its next generation of iPhones.

Kuo said in a research note to investors that Qualcomm would "not have a share of the orders at all". Presently Apple and Qualcomm are embroiled in a legal tussle and Qualcomm has charged Apple of sharing proprietary code with Intel.

Nomura said it believed Apple would source all of its thin modems, of which Qualcomm supplied half, from Intel.

Apple and Qualcomm are hardly the best of friends. Qualcomm baseband components will be excluded from 2018 iPhone altogether, according to Kuo. The KGI report further claims that Apple is working to augment LTE transmission speeds by introducing 4X4 MIMO Chipsets. As mentioned, the iPhone SE managed to attract a loyal following, and credit goes to its more-than-decent specs and functionalities.

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Apple is able to make the switch because of the capabilities of Intel's latest XMM 7560 modem, which now supports both GSM and CDMA. In fact, the iPhone X sports Qualcomm Snapdragon X16 modem. After losing the iPhone business, Qualcomm will be more aggressive in securing orders from Chinese smartphone vendors.

Apple is famous for not trying to rely too much on individual suppliers as it gives too much leverage, and the company constantly tries to push for a more diversified supply chain, where it can.

The new iPhones will be hitting the market this year and there are certain changes that we know for sure are going to happen when the new phones release. Talking about Intel, Samsung recently overtook the USA chipmaker in its own game of chip making for the first time in 25 years, making former the world's biggest processor-making firm.

The Apple and Qualcomm feud continues. In tests performed by Cellular Insights, the iPhone 7 Plus using the Qualcomm modem "had a significant performance edge over the iPhone 7 Plus with the Intel modem". Besides, Intel will likely be able to offer competitive rates as well though with Apple having less of a choice, it remains to be seen if Intel can remain competitive over the years.