$AAPL has relied on $QCOM to supply critical modem chips for the iPhone. Apple is now replacing Qualcomm's hardware with its own self designed modem chips, so Qualcomm was always going to lose that business. Qualcomm said on Wednesday that it's going faster than planned. Its CFO put that down to Qualcomm's own supply constraints and to where discussions with Apple ended up and not to the modem switch. Apple has a shortage of its own. On its call yesterday it said the problem is capacity at the newest chip plants for its own processors, showing up in iPhone, Mac and iPad. It's been saying that since January. Tim Cook said September will get significantly worse. He doesn't see it as a supply failure though. Apple planned for a strong cycle and got a stronger one, and the supply chain can't ramp fast enough to cover the difference. They have been pulling supply forward to fill the gap and there's only so far that goes. Someone asked if adding silicon partners would help and he said it isn't a partner or supplier problem. Qualcomm is watching that revenue go away while Apple has more demand than it can supply. Two different shortages landing on the same iPhone launch.