Apple CEO Tim Cook frequently says his company tries to own every primary piece of technology in its products, instead of relying on outside parties. That helps explain the news that Apple appears close to buying Intel's smartphone modem division, including patents and staff, for $1 billion or more.

The iPhone maker already has a supplier for modem chips: Qualcomm. Earlier this year, as part of a settlement over patent licensing, Apple agreed to buy Qualcomm chipsets for multiple years — long enough so that it will likely use Qualcomm's superior 5G modem chip in future phones.

But 5G is a long game and will be strategic for Apple as the high-speed network gets built out and consumers start expecting faster performance and more capabilities. With ownership of chip development, Apple can control its own destiny.

"Apple does realize it's not another chip — it's strategic intellectual property in a connected device," said Prakash Sangam, founder of Tantra Analyst, a research and advisory firm. "This is one of the key strategic pieces of IP they don't have, and it makes sense to own it."

The deal to purchase Intel's modem assets is not final yet, but it could become official soon, according to a report on Monday from the Wall Street Journal. Apple and Intel each declined to comment. In April, Intel announced that it was exiting the 5G market because, as CEO Bob Swan said, the division had "no clear path to profitability and positive returns."

Currently, Apple is Intel's only modem customer, according to analysis from Chris Caso of Raymond James. Qualcomm chips are on the way. Patrick Moorhead of Moor Insights and Strategy said that even if Apple buys Intel's assets "it takes best case five years to get competitive."