Qualcomm new CEO, Cristiano Amon, is dominating the laptop market

Qualcomm’s new boss believes that by next year, his company will provide laptop manufacturers with perfect chips. They want to know how to compete with Apple. Last year, Apple launched laptops with custom-designed core processor chips. Long battery life. Intel and Advanced Micro Devices do not have energy-efficient chips like Apple. Qualcomm CEO Cristiano Amon told Reuters on Thursday that he believes his company may have the best chips on the market. 

With the help of a team of chip architects, these chip architects have worked Apple chips work but now work at Qualcomm. In the top position of Qualcomm, headquartered in San Diego, California, Amon also said that despite political tensions, the company also counts on China’s revenue growth to promote its core smartphone chip business. The sanctions on Huawei give Qualcomm an opportunity to generate more revenue. 

Amon said that the cornerstone of its strategy stems from a lesson in the smartphone chip market: It is not enough to provide modem chips for wireless data connections in mobile phones. Qualcomm also needs to provide the brains that turn mobile phones into computers, and now it can do this for most high-end Android devices. Now, as Qualcomm hopes to promote 5G connectivity in notebook computers, it pairs modems with powerful central processing units or CPUs. 

Amon said. Instead of using the computer core blueprint of its partner Arm Ltd as it does for smartphones, Qualcomm has concluded that it needs custom-designed chips so that its customers can compete with Apple’s new laptops. As the head of Qualcomm’s chip division, Amon bought the startup Nuvia for US$1.4 billion (approximately Rs 14.8 billion) this year. The former Apple founder of the latter helped design some of the notebook chips. Before Apple left to establish this startup. 

Qualcomm will begin selling Nuvia-based notebook computer chips next year. “We need to provide leading performance for battery-powered equipment,” Amon said. “If Arm, which we have been working with for many years, finally develops a better CPU than our own CPU, then we will always have the option to obtain a license from Arm.” NVIDIA paid US$40 billion (approximately Rs 299,440 crore) Price bought a merger between Qualcomm and regulators opposed. 

Amon said that Qualcomm has no plans to build its own products to enter another major CPU market: cloud computing company data centers. But it will license Nuvia’s design to cloud computing companies that want to build their own chips, which may make it compete with parts of Arm’s business. “We are very willing to use Nuvia’s CPU assets to cooperate with interested companies because they have built their data center solutions,” Amon said.

Brand challenge: 

In its most recent fiscal year’s chip revenue of US$16.5 billion (approximately Rs 1234.8 billion), mobile phone chips accounted for US$12.8 billion (approximately Rs 9579 billion). Some of Qualcomm’s best customers, such as mobile phone manufacturer Xiaomi, are in China. Qualcomm is counting on revenue growth because its Android phone customers have flocked to Huawei’s former mobile phone users, who were kicked out of the mobile phone market by Washington. s. Kevin Krewell, the principal analyst at TIRIAS Research, called it a “political minefield” because of the escalating tensions between the United States and China. 

But Amon said the company can do business there as usual. “We authorize our technology, we don’t have to use technology transfer for mandatory joint ventures. Our customers in China and their agreements are up-to-date, so we respect American intellectual property rights.” “He said. Another major challenge facing Amon is Treat Apple as a customer. After a tough legal battle, Qualcomm’s modem chip is now installed in all Apple iPhone 12 models. 

Apple sued Qualcomm in 2017, but eventually withdrew its claims and signed a patent license and chip supply agreement with Qualcomm in 2019. Apple is now designing a chip to replace the Qualcomm communication chip in the iPhone device. Canaccord Genuity Group senior analyst Michael Walkley said that the stock multiple is worrying because it is good enough now because they are shipping to all iPhones, but one day Apple will manufacture these chips in-house. “Amon said that Qualcomm has decades of experience in designing modem chips. It is difficult for any competitor to copy. 

The gap left by Huawei in the Android market creates new revenue opportunities for Qualcomm. The market is as big as the market. Our chance,” Amon said. Amon is an energetic social executive on stage during the keynote speech. Another challenge he faces is that even in Qualcomm’s hometown, Qualcomm is not as well known to consumers as Intel or Nvidia. “I flew to San Diego and found an Uber driver at the airport and told him that I was going to Qualcomm. 

He said, ‘Are you talking about the stadium?” Cruel said, referring to the football that used to be the home of the San Diego Chargers “Amon has launched a new brand plan for the company’s Snapdragon smartphone chip to try to change this situation. Today the smartphone industry has matured. People care about what is behind the glass,” he said.

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