Qualcomm Surges on Amazon Multi-Generation AI Silicon Deal

Qualcomm's shares rose 5% on Tuesday after announcing a multi-generation AI silicon deal with Amazon. The collaboration will see Qualcomm and AWS co-develop customized silicon for large-scale AI inference workloads.

The deal includes high-performance optical connectivity that leverages Qualcomm's SerDes and optical DSP portfolio. Qualcomm will also deepen its use of AWS for electronic design automation workloads, aiming to compress chip design cycles.

Qualcomm CEO Cristiano Amon said data center infrastructure needs advances in both computing and connectivity to deliver greater performance with more efficiency. The company is targeting a $40 billion non-handset revenue target by fiscal 2029, with the data center as the accelerator.