Qualcomm Just Signed Deals With 3 Major Hyperscalers for AI Chips. Is This the "Hidden" AI Stock Wall Street Keeps Overlooking?
Some of the biggest names in the artificial intelligence data center business are betting on Qualcomm's processing technology.
Overview
Since the advent of modern-day artificial intelligence platforms, Nvidia (NASDAQ: NVDA) has been the chip provider of choice thanks to its dominance in data center graphics processing units (GPUs). Even computing powerhouses like Intel and Advanced Micro Devices were on the fringe of the market. Mobile processor maker Qualcomm (NASDAQ: QCOM) wasn't even part of the discussion.
Now, that's changing. The often-overlooked mobile technology name recently inked deals to supply three hyperscalers -- including Microsoft (NASDAQ: MSFT) and Facebook parent Meta Platforms (NASDAQ: META) -- with artificial intelligence (AI) processing chips. All told, Qualcomm expects to do at least $15 billion worth of data center business in its fiscal 2029, up from none a year ago. For perspective on that figure, the company reported revenue of $44.3 billion for its fiscal 2025, which ended in September.
Details
Qualcomm's budding presence in the AI data center business is not only undeniable, but meaningful.
Source
Originally published at www.fool.com.