How is Qualcomm dominating the mobile semiconductor industry?
Qualcomm is the world’s leading manufacturer of wireless technology and the expansion of 5G. It has its headquarters in San Diego, CA, and was founded in July 1985. Qualcomm is popularly known for taking the lead in communication systems for mobile internet technology on cellular devices and the transportation sector.
Qualcomm began with government projects by designing and developing high-speed data communications for the three main armed forces to transfer data at military test ranges. And today, Qualcomm manufactures revolutionary technologies that have entirely transformed how the world computes, connects, and communicates. They are also the preferred mobile semiconductor chipsets manufacturer. And they have been dominating the mobile semiconductor industry for over a decade.
If you have been wondering what makes Qualcomm different and why they stand out, check out some reasons how is Qualcomm dominating the mobile semiconductor industry?.
Better Scale Return
Numerous technology sections are mainly led by manufacturers with the best scale return. Qualcomm arguably has bigger volumes which means increased revenues and more profits. Also, bigger volumes are cost-effective. And that means lower cost per unit. This will, in turn, significantly make their margins and profits better. And because of their high revenues, they can invest heavily in research and development(R&D). This makes Qualcomm has improved and better solutions on faster time than their fellow competitors.
IPR And Standards
Qualcomm was clever enough to design and develop a standard that ensures it is the only supplier of IS-95/ US flavor CDMA. CDMA(Code Division Multiple Access) was an entirely new RF application that is based on mathematics instead of old RF based on the carrier used in TDMA and analog schemes. Adopting the CDMA standard gave Qualcomm an even better margin and higher revenue. It also makes them the only chipset that supports all standards and is universal. And this put Qualcomm at an advantage. And that’s because numerous mobile phone manufacturers want a multi-mode chip that is either universal or a prototype that supports the USA.
Exceptional Single-Chip Solutions
Qualcomm is arguably the only system-on-chips(SoC) manufacturer that sells Single-Chip solutions that incorporate the parts of a normal SoC and cellular modem with the ability to use all modern cellular technologies. This allows for less heat output, improved battery life, and less consumed logic board area.
These features make Qualcomm’s chips better than multi-chip solutions by other manufacturers. It also makes it achievable to have fewer prototypes that support the numerous various carriers that an Original Equipment Manufacturer(OEM) will sell. That’s why many modern smartphones and tablets equipped with newer LTE such as Samsung use Snapdragon chips made by Qualcomm.
Qualcomm is the manufacturer of some of the most powerful and efficient mobile chips in the world. Also, their chips arguably have one of the best performances in the market. These chipsets include the snapdragon 800 series, snapdragon 700 series, and snapdragon 600 series. This allows their clients, majorly Original Equipment Manufacturers(OEMs) to sell mobile devices with high performance and improved battery life. And this is always appealing to end-users.
Qualcomm’s Main Competitors
Qualcomm has so many competitors trying to take its top spot in the mobile semiconductor industry. However, Qualcomm’s biggest competitor has to be Broadcom Inc. Broadcom was founded in 1961, when the semiconductor industry was finding its place.
Broadcom provides a wide range of services similar to Qualcomm. The only edge Broadcom has over Qualcomm is the experience it gathered before Qualcomm was founded some 24 years later. In 2017, Broadcom offered to purchase Qualcomm for a staggering $130 billion. But the offer was rejected by Qualcomm. And that was a smart move considering Qualcomm’s position in the telecommunication industry.
Other notable competitors to mention are Apple, Cirrus Logic, Intel, Mediatek, and HiSilicon.
Qualcomm is a global telecommunication and semiconductor organization that designs and delivers wireless communications services and products. Qualcomm is leading the mobile semiconductor industry with its better scale return, systematic standards, efficient chipsets, and exceptional Single-Chip solutions. And now, they are expanding to the automotive industry to provide revolutionary solutions that will change the automotive world.