Apple inks multi-billion-dollar deal with Broadcom for U.S.-made chips

Apple Inc on Tuesday said it has entered a multi-billion-dollar deal with chipmaker Broadcom Inc to use chips made in the United States.

Under the multi-year deal, Broadcom will develop 5G radio frequency components with Apple that will be designed and built in several U.S. facilities, including Fort Collins, Colorado, where Broadcom has a major factory, Apple said.

Broadcom were up 2.2% after the announcement, hitting a record high. The chipmaker is already a major supplier of wireless components to Apple, with about one fifth of its revenue coming from the iPhone maker in its two most recent fiscal year.