“Following concerns that Apple could displace Imagination Technologies and Dialog Semiconductor with an internal solution, we evaluate the potential risk that other suppliers could be displaced by Apple in the future,” John Vinh and Jun Wang, Pacific Coast Securities, write via Barron’s.

“In our view, the risk of radio-frequency (RF) providers (Broadcom, Qorvo, Skyworks Solutions or Cirrus Logic) being insourced by Apple is medium to low, but Synaptics’ risk is potentially high,” Vinh and Wang write. “Our favorite Apple supply chain names are Broadcom, Cirrus and Skyworks.”

Vinh and Wang write, “We see moderate-to-high risk of Apple looking to insource its display driver integrated circuit (DDIC), given: 1) as we previously noted, Apple has hired a significant number of former Renesas SP (RSP) [supplier of DDICs] engineers; and 2) we believe Apple has been developing its own internal OLED DDIC.”

Read more in the full article here.

MacDailyNews Take: Again, as we wrote yesterday, investing in suppliers who are heavily dependent on Apple’s business is it’s own special thrill ride.

It’s as clear as synthetic sapphire.

Shares in chipmaker Dialog plunge over Apple contract doubts – April 11, 2017
Without Apple, Imagination Technologies’ PowerVR has no future – April 10, 2017
Apple steps up homegrown GPU plans with London hiring spree – April 9, 2017
Why Apple’s ditching of Imagination is critical for the future of the iPhone – and maybe even the Mac – April 5, 2017
Apple aims for more control, less cost as it accelerates in chip design – April 5, 2017
Apple could look to buy Imagination Technologies after ditching the chip firm, share price plunge – April 4, 2017
Imagination Technologies’ shares collapse after Apple dumps UK chip designer – April 3, 2017
Apple nabs top talent from iPhone 7 GPU chipmaker Imagination Technologies – October 13, 2016
After failed takeover talks with Apple, Imagination Technologies sells stake to state-owned Chinese company – May 9, 2016
Apple in ‘advanced talks’ to acquire Imagination Technologies for PowerVR GPU – March 22, 2016