Boosting its AI ambitions, Qualcomm launched next-generation chips for data centres, sending its shares soaring on strong investor optimism.
Qualcomm announced two new artificial intelligence chips for data centers, triggering a 20% surge in its shares. The move marks the company’s boldest step yet into the AI infrastructure market, challenging industry leader Nvidia.
The new chips, named AI200 and AI250, are designed for enhanced memory capacity and efficient AI inference workloads. They will be commercially available in 2026 and 2027, respectively. Qualcomm said the chips support leading AI frameworks and promise significant cost savings for enterprises deploying large-scale AI applications.
The company also unveiled AI racks built around these chips, a shift that mirrors the broader industry trend of chipmakers such as Nvidia and AMD moving toward full data center systems. Qualcomm’s new AI infrastructure will debut with a major deployment that is Humain, a Saudi Arabia-based AI startup backed by the kingdom’s sovereign wealth fund, plans to install 200 megawatts of Qualcomm AI racks starting in 2026.
Analysts said the deal underscores Qualcomm’s growing relevance in the AI ecosystem. “The ecosystem is fragmenting because no single company can meet the global demand for high-efficiency AI compute,” said Joe Tigay of Rational Equity Armor Fund.
While Nvidia continues to dominate with its high-performance processors, Qualcomm’s entry signals a diversification strategy aimed at reducing dependence on the stagnant smartphone market, where it remains the world’s largest modem chip supplier.
