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Audience Inc says Apple unlikely to use its audio tech in iPhones

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Audience is a US-based company that makes voice and audio processors for mobile products. In the past, Apple used Audience's audio technology in the iPhone, but that may change with the next iPhone model, says a report in Reuters.

Audience's CEO Peter Santos told Reuters in an email interview that, "Events of the last week in the normal course of business led us to believe that our technology is not likely to be enabled in Apple's next generation mobile phone."

This admission sent Audience's stock tumbling down 60 percent as more than one-third of Audience's total revenue comes from licensing agreements with Apple. The company will still get royalties on older phone models, but that revenue will slowly dry up as Apple phases out the iPhone 4 and 4S.

Audience didn't say why Apple is no longer using its processors, but the company did hint that Apple is now using its own team to develop audio technology for the iPhone.

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