It looks like there's a power struggle between Intel and Qualcomm, with the former planning to oust the latter as Apple Inc's LTE chip supplier. 

The report from Venture Beat said that Intel has a large team that can work to ensure that its 7360 LTE modern chip would make its way to Apple's iPhone 7, and could replace the Qualcomm LTE chip currently inside the iPhone 6.

Brian Krzanich, Intel's CEO, mentioned earlier this year that the 7360 modem will start shipping to manufacturers before the year ends, and will be ready for products set for consumer use in 2016.

Intel hasn't been faring so well in the mobile chip market. The International Business Times noted that with Qualcomm dominating the premium end of smartphones, companies like Taiwan's MediaTek control the rest. Intel's marke has always been the desktop computer market, so if Apple decides to use Intel SOC, it could give the company a major boost as per their mobile market sales. Intel is said to already supply chips for Apple's Mac Desktop and Laptop computers, but getting on the mobile phone market will be more lucrative for the company.

Apple used Samsung and TSMC to use A-series chips for its iPhones and iPads in the past, however, if Intel can prove it can supply the necessary LTE for the iPhone 7, then Apple could use the technology for Intel to build a new system-on-chip (S0C) in the future.

However, The Inquirer noted that Apple may have other plans for Intel, such as combining the AX processor and the LTE model chip, a move that Intel may already be aware of, as a source mentioned that Apple will "license the LTE modem intellectual property from Intel".

Other than working for Apple's next iPhone, there are reports that Intel will be working with Microsoft as well, although it is expected to be part of the Surface products instead of the Lumia Smartphone Range. Microsoft watcher Paul Thurrott said as much, noting that "I have heard that Microsoft is indeed working on an Intel-based smart phone for 2016 that may or may not be marketed as a Surface rather than a Lumia."

Although the Surface phone is unlikely to sell as much as Apple's next generation iPhone, Intel thinks the partnership with Microsoft is also essential for its mobile chip business. Intel CFO Stacy Smith said that the company is "on track to our annual goal of improving mobile profitability by $800 million, with about a third of the improvement realized to date."