Qualcomm Targets $40B in Non-Handset Revenue by 2029 in Major Pivot

Key Facts

In a move reflecting a strategic pivot toward AI and computing leadership, Qualcomm unveiled an ambitious plan to diversify its revenue streams beyond the mobile handset market. The company raised its annual non-handset revenue target to $40 billion by fiscal 2029, effectively doubling its previous guidance. This strategy includes targeting over $15 billion in revenue from data center AI infrastructure and expanding its automotive design-win pipeline to a substantial $65 billion.

This expansion comes as semiconductor firms race to challenge Nvidia's dominance in the data center market, where Nvidia recently reported record data center revenue of $26 billion in a single quarter per market data. By comparison, Qualcomm is leveraging its expertise in power efficiency to transition its processors into servers and electric vehicles. According to industry reports, the company's automotive growth places it in direct competition with peers like Mobileye and Nvidia for market share in autonomous driving systems.

Regarding market performance, QCOM shares stood at $226.11 (at close June 18, 2026) following a session high of $229.42. Investors are now looking toward upcoming catalysts, specifically the U.S. Initial Jobless Claims data scheduled for release today, which serves as a key indicator of consumer health and its subsequent impact on long-term demand for high-end technology and AI-integrated hardware.