Qualcomm Inc. (NASDAQ: QCOM) announced new artificial intelligence-focused processors at its Snapdragon Summit, along with an extended patent agreement with Apple and expanded partnerships. The company reported its shares were up 5.69% at $205.32 at the time of publication.
At the summit, Qualcomm unveiled the Snapdragon 8 Elite Gen 6 and the higher-end Snapdragon 8 Elite Extreme Gen 6 for premium Android smartphones. The new processors are designed to run on-device AI models. The standard version features sensing hubs capable of running models with up to 200 million parameters, while the Extreme version can locally execute a 30-billion-parameter mixture-of-experts model. Additionally, Qualcomm introduced an AI coprocessor that applies technology from its data-center business to mobile devices.
Qualcomm is positioning these chips against Apple Inc.’s (NASDAQ: AAPL) A20 Pro and utilizing Taiwan Semiconductor Manufacturing Co. Ltd.’s (NYSE: TSM) advanced manufacturing technology. Nine smartphone manufacturers, including Motorola and Xiaomi, have committed to using the new chipsets. Microsoft showcased two Snapdragon-powered Surface PCs, and Lenovo demonstrated another. Alphabet highlighted Google laptops using Snapdragon with Gemini capabilities.
In other news, Qualcomm renewed its global patent license agreement with Apple, effective April 1, 2027. CEO Cristiano Amon discussed the future of smartphones, stating that autonomous agents are expected to reshape the industry by operating apps and connecting with cloud services without constant manual interaction. Amon noted that premium smartphones have remained resilient despite higher memory prices.
Qualcomm holds significant weight in several exchange-traded funds, including the Tema Global Royalties ETF (NASDAQ: ROYA) at 5.25%, the First Trust Nasdaq Semiconductor ETF (NASDAQ: FTXL) at 6.71%, and the VanEck Fabless Semiconductor ETF (NASDAQ: SMHX) at 4.99%.
