Prabhu RamQualcomm posted a robust Q2 2025, with $9.5Bn in chipset revenue—driven by solid handset performance and expanding strength in automotive, IoT, and adjacencies.
Strong quarter, stronger signal
Qualcomm continues to grow beyond smartphones, setting a target of $22Bn in non-handset revenues by FY29. AI and ecosystem-wide innovation are the new frontiers.
Why this stands out
On-device GenAI is becoming a key differentiator. Qualcomm’s silicon now supports leading models: Microsoft Phi, Google Gemini Nano, Meta LLaMA, OpenAI Whisper, and Alibaba Qwen.
What’s powering growth
- Mobile + Connectivity: The Snapdragon X85, launched at MWC 2025, enables peak 5G Advanced speeds of 12.5 Gbps and is now the Android reference platform.
- Flagship Momentum: Snapdragon 8 Gen 3 Elite powers 90+ flagship designs, including the Motorola Razr Ultra 2025 with Moto.ai, Perplexity, and Copilot built-in.
- AI Ecosystem Leverage: AI models are running across segments, driving Qualcomm’s positioning as a go-to platform for AI inferencing on the edge.
What to watch
- PC + XR: Snapdragon powers ~9% of Windows laptops >$600, with 85+ designs in the pipeline. XR is scaling, with 15+ smart glasses on the roadmap.
- Auto: 30 design wins, including 5 ADAS programs and deals with NIO, Great Wall, and Zeekr, reaffirm auto sector traction.
- IoT & Edge AI: Strategic acquisitions like Edge Impulse and Focus AI, plus Palantir partnerships, are expanding Qualcomm’s industrial and edge AI capabilities.
Qualcomm is methodically building moats across devices, connectivity, and intelligence. Its GenAI-first strategy, coupled with ecosystem execution, is delivering early returns.
