Qualcomm angles to get a piece of the $8 billion market for 5G infrastructure

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Qualcomm angles to get a piece of t he $8 billion market for 5G infrastructure

Qualcomm stock is up over 43% this year as investors bet that its mobile chips, like the modem in's latest iPhones or the processor in Samsung Galaxy phones, stand to benefit from a wave of spending on 5G.

But Qualcomm's new Radio Access Network chips go on the other side of a 5G connection — instead of being inside a handset, they're designed to go into the base stations, packed with antennas and chips, that carriers place around cities to deliver internet over cellular connections.

"5G enables a very large expansion of the Qualcomm addressable market, because 5G is going everywhere. It's going to automotive, it's going everywhere. The networking aspects of 5G comes with that transition," Qualcomm President Cristiano Amon said. "It's a very small incremental investment and it creates an expansion of the Qualcomm addressable market."

Amon declined to identify companies planning to use Qualcomm's RAN product but said the likely customers include existing base-station makers as well as new companies that want to create cellular infrastructure, such as carriers that could end up building their own base stations. Qualcomm's customers will get engineering samples in 2022.

 

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