Bull case
Qualcomm is viewed positively because its core patent moat in CDMA and OFDMA underpins virtually all 3G, 4G, and 5G devices, while its chipset leadership extends across premium smartphones, RF-front end modules, auto, and IoT, supporting a more diversified revenue base. The Amazon strategic collaboration strengthens conviction in Qualcomm’s data center AI ambitions by validating its custom silicon, optical connectivity, and multi-foundry capabilities, with the warrant tied to as much as $60B of purchases and immediate vesting on 3.75M shares implying meaningful early commitment. Financially, non-handset revenue has already risen to about 25% of sales from 20% 3 years ago, management targets roughly $40B in non-handset revenue and more than $18 of EPS in FY29, and the business still screens as attractively valued at less than 3x FY29E sales and about 10x FY29E Non-GAAP EPS.