Qualcomm, Inc. (NASDAQ:QCOM) was up 0.16% in the previous trading session closing at $49.69. The stock is close to its 52-week low. Here is a news from the company that might help boost the company’s stock.
Qualcomm has indicated that they are expanding beyond the core mobile business in a move the will boost their revenue stream to take on Apple with whom they are in a legal battle. The company want to grow their market segment and make their presence in 5G, Iot and Automotive felt.
In an interview with IBD, Pete Lancia, the Vice President of Qualcomm discussed the strategic initiatives the chipmaker has taken towards the realization of 5G network and expansion to IoT. Chips are very important, and they have been behind technological revolutions such as IoT and 5G.
Diversification beyond core mobile
Pete Lancia stated that at Qualcomm they invent technology breakthroughs that impact on consumer user devices that not only applies to mobile but also applies to everything else around that consumers are using.
Pete said that the company has over 5 billion in revenue for FY2018 for segments outside the mobile. Segments outside mobile are becoming more significant part of their business as the company looks to diversify from just being a leader in mobile devices and smartphones. The company did not disclose their 2018 revenue guidance but the revenue for FY2018 was 22 billion, and for the non-mobile segments it will be about 5 billion.
The communication VP said that the company has not segmented on which will bring what amount of revenue yet, but the consumer electronics platform is driving change in all aspects from automotive, IoT home devices, and 5G. This will be a good opportunity for the company to take advantage of and apply in computing and connectivity to transform various industries.
The company considers industrial IoT as an important segment because more things are getting smarter. Industrial IoT will, therefore, be a vital segment to take advantage of the capabilities of the company to apply to a different segment.
5g is interesting are that will revolutionize technology because it will support almost everything. The company has been collaborating with other companies in the development of 5G and launching of the 5G is scheduled in first quarter 2019.