Qualcomm Delivers Upbeat Results That Show Its Diversification Efforts Are Working

On Wednesday, Qualcomm Incorporated (NASDAQ: QCOM) issued its fiscal fourth quarter results, surpassing Wall Street estimates on both revenue and earnings fronts, fueled by a wave of launches of flagship Chinese smartphones.

With its fortunes have been historically tied to the smartphone industry, Qualcomm continues its efforts to transform into an AI-era ready connected computing company. While it sells modems and related chips to Apple Inc (NASDAQ: AAPL) for its iPhones, this revenue stream is about to start fading. While Qualcomm closed a deal with Apple to keep selling chips by at least 2026, Apple is working on its own chips. Therefore, all eyes are on Qualcomm’s diversificiation efforts to evaluate their chances of ofsetting the decline from losing Apple. Qualcomm has also made some serious moves to position itself in the AI landscape, having developed smartphone chips with specialized parts for machine learning since 2017. But unlike the ...

Full story available on Benzinga.com