Under the agreement, Apple and Broadcom will develop "cutting-edge" components for 5G devices that will be designed and manufactured in the US.

The new sophisticated 5G radio frequency components will be built in several US facilities, including Fort Collins, Colorado, where Broadcom has a major factory, Apple said. They will include film bulk acoustic resonator chips, which are used in radio-frequency systems that help iPhones and other Apple devices connect to mobile data networks.

Neither Apple nor Broadcom disclosed the size of the deal, with the latter saying only that the new agreements require it to allocate Apple "sufficient manufacturing capacity and other resources to make these products".

Following the announcement, shares in chipmaker Broadcom were up 2.2 per cent, 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...