Qualcomm bets big on data centers, eyes 30% of business from AI chips
qualcomm forecasts $5b in data center revenue by 2027 and $15b by 2029 as smartphone sales decline, aiming for data centers to account for 30% of its business.
qualcomm is diversifying its business into data centers as smartphone sales decline. during its q4 2026 earnings call, the company announced plans to grow its data center business through partnerships with amazon and meta. qualcomm forecasts $650 million in data center revenue in the first quarter of 2027, with projections reaching $5 billion by the end of 2027 and $15 billion by 2029. this growth would account for a significant share of its earnings, with data centers eventually making up around 30% of its business. this move comes as smartphone sales tanked by around 20 percent compared to 2025.