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Qualcomm gives better-than-expected revenue forecast as company pushes AI-powered smartphones

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Qualcomm called out strong demand for “premium tier” smartphones that require the most advanced chips.

Handset sales rose 1% year-over-year to $6.18 billion, signaling that the smartphone market may be recovering after a few years of post-covid slumping.Here's how it did versus LSEG consensus estimates for the quarter ending in March:Net income during the quarter was $2.33 billion, or $2.06 per share, versus $1.7 billion, or $1.52 per share, in the year-earlier period.

Qualcomm's most important business is its handsets business. It sells processors, modems and other parts for smartphones — primarily Android devices, but also some modem parts in iPhones. Qualcomm calls the phones that use its best chips"AI-powered smartphones," citing features such as generative email completion, live translation, and virtual assistants that use the chips specialized"NPU" AI section. One such phone is

 

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