Qualcomm targets $6B annualized automotive revenue by FY26 end

0 min read | Published on 25 Jun 2026, 12:56 AM |Updated on 25 Jun 2026, 12:56 AM

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Ashish TScanX News Team

Key Highlights

Qualcomm projects it will achieve $6B in annualized automotive revenue by the end of FY26, driven by demand for connected vehicle technologies and strategic diversification beyond mobile chips.

*this image is generated using AI for illustrative purposes only.

Qualcomm is positioned to exit FY26 with $6B in annualized revenue from its automotive business, according to a company executive. This projection highlights the significant growth trajectory the chipmaker anticipates within the automotive sector as it expands its footprint in smart vehicle technologies.

The automotive segment has become a critical area of focus for Qualcomm, driven by the increasing demand for connected and autonomous vehicles. The company's technology portfolio, which includes digital cockpits and advanced driver-assistance systems, is expected to fuel this revenue ramp-up through the end of the fiscal year.

Strategic Outlook

The executive's statement reinforces Qualcomm's strategy to diversify beyond its traditional mobile phone chipset market. By securing design wins with major automotive manufacturers, the company aims to establish a recurring revenue stream that scales with vehicle production volumes over time.

Financial Implications

Achieving the $6B annualized revenue run rate by the close of FY26 would mark a substantial milestone for the automotive division. This figure serves as a key indicator of the segment's maturity and its contribution to the company's overall financial health.

How might supply chain constraints in the semiconductor industry impact Qualcomm's ability to meet its FY26 automotive revenue target?

What are the potential risks if automotive manufacturers delay or reduce their investments in connected and autonomous vehicle technologies?

How will Qualcomm's automotive revenue growth compare to its competitors, such as NVIDIA and Intel, in the same timeframe?

Qualcomm wins hyperscaler deals, revenue to rise

1 min read | Published on 25 Jun 2026, 12:26 AM |Updated on 25 Jun 2026, 12:44 AM

Reviewed by

Jubin VScanX News Team

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Key Highlights

Qualcomm has secured two major hyperscaler deals for its custom silicon, with revenue expected to start contributing at the end of this year. The company's Data Center Chief announced that commercial sampling of the High Bandwidth Compute Gen 1 with AI250 is expected in mid-2027, followed by the launch of the second-generation HBC chip in 2028.

*this image is generated using AI for illustrative purposes only.

Qualcomm has secured two major hyperscaler deals for its custom silicon initiatives, which are expected to contribute meaningful revenue starting at the end of this year. The company's Data Center Chief confirmed the agreements, signaling a strategic shift in its data center market approach. This revenue stream is projected to materialize in the period ending with the calendar year that commences in Q1 2027.

The company continues to advance its hardware roadmap alongside these commercial wins. Commercial sampling of the Qualcomm High Bandwidth Compute Gen 1 with AI250 is expected in mid-2027. Following this, Qualcomm plans to launch the second generation of the HBC chip in 2028, marking a deeper expansion into the server processor market.

Product Launch Timeline

The upcoming data center CPU represents Qualcomm's expansion beyond its traditional mobile and connectivity focus. The mid-2028 launch target provides a specific window for the market entry of this new hardware category, following the initial sampling phase of the Gen 1 chip.

Revenue Projections

Qualcomm projects that its custom silicon initiatives will begin contributing significant financial results starting in the period ending with the calendar year that commences in Q1 2027. This indicates a phased approach to monetizing its new data center technologies before the full CPU launch.

How will these new custom silicon deals impact Qualcomm's competitive positioning against established data center players like AMD and Intel?

What are the potential risks or challenges Qualcomm might face in scaling production to meet hyperscaler demand by late 2027?

Could the success of the HBC Gen 1 and Gen 2 chips prompt Qualcomm to further diversify beyond its traditional mobile and connectivity markets?