Qualcomm announced on Thursday that Apple has extended its patent-licensing agreement with the chipmaker, maintaining a licensing relationship even as the iPhone manufacturer works to reduce its dependence on Qualcomm’s modem chips. The extension’s duration was not disclosed by Qualcomm, though the existing agreement is set to expire on March 31, 2027, with an option to extend for an additional two years.

Neither Apple nor Qualcomm responded to requests for comment regarding the extension. The move comes amid Qualcomm’s July statement indicating that revenue from Apple-related products is expected to decline more rapidly than previously anticipated.

Qualcomm’s licensing business represented approximately 15 percent of the company’s revenue during the June quarter. The chipmaker has indicated that it is counting on growth in its data center segment to compensate for the anticipated decrease in revenue from Apple after 2027.

Earlier in 2023, Qualcomm and Apple reached a separate agreement for Qualcomm to supply 5G chips to Apple devices through at least 2026, reinforcing their ongoing collaboration in certain technology areas despite shifts in their broader business relationship.