Qualcomm Plans Enter Server Processor Market Back Again

Surprisingly, Qualcomm now plans to return to the server market. According to a report, the American company wants to produce new server processors with a new chip that comes from an acquisition of a start-up. The report comes from Bloomberg news citing internal sources at the US chip maker: It says that according to people familiar with Qualcomm’s plans, the company is making another attempt at the server processor market.

A major goal of this reshuffle is to reduce dependency on smartphones. Smartphone processors are Qualcomm’s most important segment. On the other hand, the group sees enormous growth potential in server processors. The fast-growing industry must therefore be developed by Qualcomm – according to Bloomberg, the course is currently being charted.

Search for clients in progress

According to insider information, the company is currently looking specifically for customers for a product that resulted from its purchase of chip start-up Nuvia last year. These initial preliminary negotiations are confidential, so the source will not be named. The customer must be Amazon. Amazon is said to have already agreed to review the company’s offerings. Amazon’s AWS division is currently one of the largest buyers of server chips.

A deal between Amazon and Qualcomm would be correspondingly lucrative. However, it has not yet been announced how concrete a market-ready product is. Qualcomm bought chip startup Nuvia from Apple’s ex-lead developer last year for $1.4 billion.