Qualcomm Announces Phone Chip Price Increases Starting September 1st
Qualcomm announced it will raise prices on its phone chips starting September 1, as reported by CNBC. This decision comes amid a challenging market environment where the company experienced a 20% year-over-year decline in handset revenue—the lowest since 2021—due to rising memory costs and supply constraints affecting various tech sectors. Qualcomm CEO Cristiano Amon stated that prices will increase, with rumors suggesting double-digit percentage hikes. The firm is also anticipating further declines from Apple-related revenues due to reduced modem share for the upcoming iPhone models. To offset these challenges, Qualcomm plans to diversify its revenue streams by expanding into data centers and automotive markets. The company recently secured a long-term chip supply deal with BMW as part of this strategic shift.
Topics: chip pricing handset revenue decline memory shortages