Qualcomm Incorporated has raised its fiscal 2029 non-handset revenue target to $40 billion, approximately double its prior goal, as it accelerates diversification into artificial intelligence, automotive, and IoT sectors. The company outlined this comprehensive strategy at its 2026 Investor Day, emphasizing its evolution into a platform company spanning the entire compute continuum. This aggressive expansion targets a combined total addressable market of approximately $1.7 trillion by 2030 across devices, edge, and cloud. Following the announcement, Qualcomm shares rose 12.75% in after-hours trading to $222.57.

Strategic Revenue Targets

Qualcomm's updated fiscal 2029 goals for its QCT business include specific revenue milestones for key growth verticals. The company targets automotive revenues of $10 billion and IoT revenues exceeding $14 billion. Within the IoT segment, the company projects $8 billion from industrial, networking, and robotics, and $6 billion from personal AI and compute. Additionally, Qualcomm unveiled a comprehensive data center AI infrastructure strategy with a revenue target exceeding $15 billion by fiscal 2029. Handsets are projected to represent approximately one-third of QCT revenues by fiscal 2029.

Financial Outlook

Alongside revenue targets, Qualcomm provided earnings guidance for fiscal 2029. The company targets more than $18 in non-GAAP diluted EPS and greater than $14.50 in GAAP diluted EPS. The company anticipates that multiple large markets will reach inflection points over the next 3 to 5 years, driven by the distribution of AI compute across devices, edge, and cloud.

Qualcomm Technologies, Inc. and Hugging Face are expanding their strategic relationship to advance open, developer-driven artificial intelligence from devices to cloud infrastructure. This collaboration aims to unite Qualcomm’s device to data center platforms with Hugging Face’s global AI community and model ecosystem to enable a new era of agentic AI and hybrid inference at scale. The partnership is designed to unlock a unified AI experience by seamlessly connecting edge devices and cloud systems, allowing applications to intelligently balance performance, cost, and latency.

Strategic Integration

The collaboration focuses on three key pillars across the Qualcomm, Snapdragon, Dragonwing, and Dragonfly family of products. The first element involves connecting Qualcomm Technologies’ data center infrastructure with Hugging Face’s AI storage infrastructure. Hugging Face’s storage and inference services are planned to map to high-performance, energy-efficient data center solutions powered by Qualcomm Dragonfly products. This integration is expected to provide the global developer ecosystem with a direct path from model experimentation to production deployment of apps and agents.

Accelerated Deployment

The second element aims to accelerate AI model deployment across devices and data center racks powered by Qualcomm Technologies products. With over 3 million open models available, AI models from the Hugging Face ecosystem are planned to be onboarded onto Qualcomm platforms using an Agent that handles setup, optimization, and deployment with zero manual integration work. This initiative is intended to simplify the developer journey and reduce the time to deployment of AI applications and agents. As part of this engagement, Hugging Face will offer access to Hugging Face Pro to customers using devices or cloud systems with Qualcomm Technologies’ platforms.

Agentic AI Orchestration

The third element enables the orchestration of Agentic AI across device and cloud environments. Qualcomm Technologies and Hugging Face plan to support a distributed AI framework where intelligent agents can operate across on-device and cloud systems, dynamically orchestrating models and workflows based on performance, cost, privacy, and latency needs. Developers will be able to access Modular’s AI software components and tools via the Hugging Face ecosystem to build a seamless hybrid AI experience.