Zhi Tong Cai Jing·2025-08-01 12:15Core Viewpoint - Qualcomm reported strong growth in its QCT non-Apple business, with a revenue increase of over 15% year-on-year for the second consecutive year, and expressed confidence in achieving a combined revenue target of $22 billion for automotive and IoT by fiscal year 2029 [1] Group 1: Financial Performance - In the latest quarter, Qualcomm's QCT revenue was projected between $9 billion and $9.6 billion, with an EBITDA margin of 27% to 29% [1] - Mobile business revenue increased by 5% quarter-on-quarter, with an 8.9% year-on-year growth despite a decline in Apple revenue [1] - IoT revenue remained flat quarter-on-quarter, while automotive revenue is expected to reach $1 billion [1] Group 2: Strategic Partnerships - Qualcomm secured a long-term agreement with Xiaomi for high-end smartphones, which will utilize Qualcomm's chips in global and Chinese markets, with Xiaomi being the first to launch the next-generation Snapdragon 8 Elite chip [1][11] - The partnership with Xiaomi has expanded beyond smartphones to include automotive, smart glasses, wearables, and tablets, indicating a sustainable and beneficial collaboration [1][12] Group 3: Market Outlook - Qualcomm anticipates normal seasonal revenue patterns for Q1 of fiscal year 2026, adjusting for the expected decline in Apple's market share [6] - The company remains optimistic about strong performance in the upcoming quarter, driven by new product launches and a robust demand outlook [5][7] Group 4: Data Center Business - Qualcomm is focusing on two product categories in the data center space: general-purpose CPUs and inference cluster accelerators, with a strong emphasis on leveraging its IP from Alphawave [4] - The company is in discussions with key clients regarding its data center offerings and is optimistic about the market potential [4][8] Group 5: Competitive Position - Qualcomm maintains a solid position in China, with an increasing share of QCT revenue, and expects to sustain its competitive edge in the automotive and IoT sectors [11][12] - The company has a long-standing partnership with Samsung, with a baseline market share expectation of around 75% for its chips in Samsung devices [9]