According to Qualcomm, the scale of the automotive sector it is targeting might reach $100 billion by 2030.
The $30 billion automotive business “pipeline” according to American chip manufacturer Qualcomm Inc. has grown by more than $10 billion since its third quarter results were revealed in late July.
Qualcomm stated at its Automotive Investor Day that the increase in future business was due to its Snapdragon Digital Chassis product, which is utilized by automakers and their suppliers. In-car infotainment, cloud connectivity, assisted and autonomous driving technologies can all be offered by the Snapdragon Digital Chassis.
The number of chips used by automakers is skyrocketing as a result of electric vehicles and an increase in autonomous capabilities in automobiles, and the automotive business has been a crucial growth sector for chipmakers.
According to Qualcomm, the scale of the automotive sector it is targeting might reach $100 billion by 2030. It predicts that its automotive sector would generate around $1.3 billion in revenue in fiscal year 2022, up from $975 million in the previous year. It projects that figure to increase to over $4 billion by fiscal year 2026 and to over $9 billion by fiscal year 2031.
Additionally, Qualcomm disclosed an expansion of its cooperation with Mercedes-Benz Group AG, which will start employing the Snapdragon Cockpit in 2023 for its in-car entertainment system.
In China, Qualcomm also serves a large number of automakers. CEO Cristiano Amon responded when asked about the effects of expanded U.S. export laws “strong win-win partnerships between the U.S. enterprises and the China enterprises will always be a force of stability”.
“But we’ll see what the future holds,” he added.
A new automotive central computer called DRIVE Thor was introduced earlier this week by chipmaker Nvidia Corp. It will offer digital in-car entertainment and services as well as autonomous and assisted driving.