Intel has secured its first major mobile phone order, with Apple announcing some versions of its new iPhone will use modem chips from the Santa Clara tech company.

Apple has decided to replace the Qualcomm chips currently used on AT&T’s US network and other versions of its flagship phone in a bid to diversify its supplier base.

According to Bloomberg, iPhones on Verizon will continue to use Qualcomm parts, while Qualcomm chips will still feature in phones sold in China.

Until now, Qualcomm has been Apple’s only provider of chips for the iPhone.

The boost for Intel, still the world’s largest chipmaker, comes mere months after its CEO Brian Krzanich outlined how the company would move away from its traditional speciality of manufacturing chips to focus on the cloud.

On Friday, the first wave of redundancies at Intel’s Leixlip plant in Kildare came into effect, with most of the positions set to be vacated by the middle of this week.

Between 350 and 400 jobs look likely to be lost by staff and contractors as Intel cuts its global workforce by 11%.