Amazon, Qualcomm Team Up on Customized Chips for AI Data Centers

Qualcomm and Amazon have formed a multi-generation partnership to develop customized chips for artificial intelligence data centers. As part of this deal, Amazon has been granted the right to acquire up to approximately $4 billion in Qualcomm shares.

The agreement could involve up to $60 billion in purchases of Qualcomm server chips, technology, systems, and manufacturing services over the next decade. However, this figure represents a potential commercial ceiling linked to the arrangement, not an unconditional order for that amount.

Qualcomm's expertise in power-efficient processing and chip design will help Amazon develop infrastructure that uses less energy while delivering the performance required for large-scale AI services.