Qualcomm is raising phone chip prices starting September 1st


RAMageddon won’t be the only reason your next phone costs more — Qualcomm is about to raise prices on all its processors, as well. Qualcomm CEO Cristiano Amon said on Wednesday that “prices are going to go up” on the company’s products starting on September 1st, CNBC reports. The price hikes were rumored last week to be “a percentage in the double digits.”

Qualcomm announced the planned price increases while reporting a 20 percent year-over-year drop in revenue from its handset business, the lowest it’s reported since 2021. In its quarterly earnings presentation, Qualcomm said this drop is due to “unprecedented increases in memory pricing and supply constraints,” which have been driving up prices on everything from game consoles to laptops and even Raspberry Pi boards, with no sign of stopping any time soon. But instead of profiting less as a result, the company says it’ll raise its own prices to compensate.

Qualcomm is also expecting an “acceleration” in the dip in revenue from Apple products, noting that its “modem share for the upcoming iPhone launch is expected to be materially lower.” It suggested twice on the earnings call that its other businesses would make up the difference.

As smartphone revenue declines, it seems Qualcomm’s planning to become a tripod of handset, data center, and automotive — it said today that soon only half of its revenue will come from phones, and only one-third will be from phones by 2029, as its data center and automotive businesses ramp.

On Wednesday, Qualcomm announced a decade-long deal to supply chips for BMW. Qualcomm EVP, CFO, and COO Akash Palkhiwala also said some OEMs are beginning to use “prior generation” Qualcomm chips in their devices in response to higher component costs.



Source link

  • Related Posts

    Anthropic says it’s committing 5% of its shares to a ‘public benefit fund’

    Anthropic announced today that it’s creating a “public benefit fund” that will give the company “increased flexibility and scale” to support projects for societal good. Anthropic said that it will…

    Continue reading
    From The Royole FlexPai To The iPhone Duo: How The Modern Foldable Phone Has Evolved

    Are foldables finally ready to go mainstream? Apple Technological advances often come with growing pains. This is no less true of phones. The 1984 “brick” phone (DynaTAC 8000X)…

    Continue reading

    Leave a Reply

    Your email address will not be published. Required fields are marked *

    You Missed

    Zoë Kravitz Wore the Chicest Ballet Flat Color of Winter 2026

    Zoë Kravitz Wore the Chicest Ballet Flat Color of Winter 2026

    *You Can See Everything* (no spoilers)

    *You Can See Everything* (no spoilers)

    As more go hungry and malnutrition persists, achieving Zero Hunger by 2030 in doubt, UN report warns

    As more go hungry and malnutrition persists, achieving Zero Hunger by 2030 in doubt, UN report warns

    Why The A-10 Warthog’s Rescue Of A Downed F-15E Pilot Forced The US Air Force To Reverse Its Retirement

    Why The A-10 Warthog’s Rescue Of A Downed F-15E Pilot Forced The US Air Force To Reverse Its Retirement

    Cows roam Kansas City highway after trailer plunged off Missouri overpass, killing dozens of cattle

    Cows roam Kansas City highway after trailer plunged off Missouri overpass, killing dozens of cattle

    Anthropic says it’s committing 5% of its shares to a ‘public benefit fund’

    Anthropic says it’s committing 5% of its shares to a ‘public benefit fund’