In a recently released note, a company by the name of Audience said Apple is “unlikely” to enable its noise suppression IP in the upcoming iPhone, causing shares of the audio technology company to drop over 50% in after-market trading. The Cupertino California company previously employed Audience’s processor in previous iterations of its popular handset, including the iPhone 4, which featured a dedicated separate noise suppression processor. Most recently, the A5 SoC used in the iPhone 4S integrated Audience’s second-generation earSmart voice and audio processor IP to optimize the voice recognition capabilities of software such as Apple’s Siri virtual assistant.
Audience previously developed the next-generation IP and licensed it to Apple in March. One thing to note here though is that the agreement doesn’t require Apple and its subsidiaries to use the patents if it chooses not to. From the recently released note:
Audience now believes that it is unlikely that the OEM will enable Audience's processor IP in its next generation mobile phone. Audience is not aware of any intended changes by this OEM to its use of Audience's processors or processor IP in prior generations of the OEM's mobile phones.
As of right now, it hasn’t been made clear what audio processing technology Apple has decided to choose over Audience’s solution for its upcoming devices. We’ll find out in time though as the next-generation iPhone is set to be revealed on September 12th.