The new 5G mobile communications standard could once again significantly boost sales of smartphones. The chip company Qualcomm continues to expect good business.
More and more consumers are buying smartphones for the new super-fast 5G data transmission. The chip company Qualcomm expects 500 to 550 million 5G-compatible phones to be sold in 2021.
That would be a significant market share: The analysis company IDC expects sales of a total of 1.37 billion smartphones this year. Qualcomm has a good insight into the business, as the US company is a leading supplier of modems for connecting to the radio network.
In the past quarter, Qualcomm’s wireless sales jumped 56 percent year-on-year to around $ 4.7 billion. Qualcomm supplies, among other things, 5G modems for Apple’s iPhones. In addition, the main processors of many smartphones with Google’s Android operating system come from the company.
Overall, the group’s revenues increased by twelve percent to a good 9.3 billion dollars, as Qualcomm announced after the US market closed on Wednesday. The bottom line was that profits fell by five percent to 2.8 billion dollars (2.4 billion euros) in the fourth fiscal quarter, which ended at the end of September.
Qualcomm exceeded the expectations of analysts both with the quarterly results and with the outlook for the current quarter. Investors rewarded this with a price increase of more than seven percent in after-hours US trading. Qualcomm is affected by the effects of the current chip shortage across the board, but is countering, among other things, with a broader distribution of production orders, said CFO Akash Palkhiwala.
Source From: Stern
David William is a talented author who has made a name for himself in the world of writing. He is a professional author who writes on a wide range of topics, from general interest to opinion news. David is currently working as a writer at 24 hours worlds where he brings his unique perspective and in-depth research to his articles, making them both informative and engaging.
