Qualcomm CEO Cristiano Amon was talking at Computex 2025 in Taipei on May 19, 2025. The event was a platform for Qualcomm to announce its plans to launch processors tailored for data centers to drive artificial intelligence, connecting with Nvidia’s chips. Nvidia’s GPUs have become crucial in data centers for training large AI models that power applications such as chatbots. They are typically paired with a CPU, an area where Intel and AMD dominate the market.
Qualcomm revealed its intention to release a custom CPU specifically for data centers that can link up with Nvidia’s GPUs and software. Having a connection to Nvidia’s infrastructure is essential for any company looking to break into the data center industry due to the significance of Nvidia’s semiconductors in the field of AI. This move marks Qualcomm’s re-entry into the data center market after previous attempts in the last decade didn’t yield much success. In 2021, Qualcomm acquired Nuvia, a company that designs processors based on Arm designs, playing a vital role in Qualcomm’s data center CPU endeavors.
The data center CPU market is fiercely competitive, with major players like Amazon and Microsoft designing and deploying their own custom CPUs. Companies like AMD and Intel also have a strong foothold in this market. Last week, Qualcomm signed a memorandum of understanding with Saudi-based AI firm Humain to collaborate on data center development, joining a wave of U.S. tech firms striking deals in the region. Humain will be operating under Saudi Arabia’s Public Investment Fund. Qualcomm’s strategy to enter the data center market is part of a broader initiative to diversify its business, which has traditionally been focused on selling processors and modems for smartphones. With CEO Cristiano Amon at the helm, Qualcomm has expanded into providing chips for cars and PCs, a market historically dominated by Intel. Amon mentioned during a presentation at Computex in Taipei that there are now over 85 PC designs available or in progress with Snapdragon X Series chips, first introduced in 2023. He also teased the launch of a new PC chip at the company’s annual summit in September, highlighting the efficiency and AI processing capabilities of Qualcomm’s chips for on-device AI processing, offering faster AI applications and enhanced security by keeping data within the device.
