Qualcomm CEO: Robotics a Major Opportunity Within Two Years

Qualcomm Eyes Robotics as a Major Growth Engine, CEO Amon Predicts Significant Opportunity Within Two Years

BARCELONA, Spain — The burgeoning field of robotics is poised to become a “larger opportunity” for chip giant Qualcomm within the next two years, according to CEO Cristiano Amon, signaling the company’s strategic expansion beyond its traditional smartphone stronghold.

In January, Qualcomm introduced its Dragonwing robotics processor, a move aimed at establishing a versatile chipset capable of powering a diverse array of robotics platforms. This multi-platform strategy mirrors Qualcomm’s successful approach in the smartphone market, where its Snapdragon processors have become a de facto standard for numerous electronics manufacturers.

“I think robotics will start to get scale within the next two years,” Amon stated in an interview, responding to inquiries about when the robotics sector will represent a material business segment for Qualcomm. He elaborated, “I think it’s going to become like a larger opportunity within two years,” during his appearance at the Mobile World Congress.

The robotics landscape is multifaceted, encompassing everything from industrial automation, such as robotic arms on assembly lines, to the development of humanoid robots, a domain actively pursued by companies like Tesla and a significant number of Chinese enterprises.

Market projections for robotics vary widely. McKinsey forecasts that the market for general-purpose robots could surge to $370 billion by 2040. Meanwhile, analysts at RBC Capital Markets have estimated the global total addressable market for humanoid robots to reach an astounding $9 trillion by 2050.

The increased enthusiasm surrounding robotics is fueled not only by the fundamental need for sophisticated processors and intricate engineering but also by remarkable advancements in artificial intelligence. These AI models are crucial for enabling robots to perceive their environment, interpret data, and execute actions autonomously, a concept often referred to as “physical AI.”

“People have said just robotics alone could be a trillion-dollar opportunity in terms of market size… the reality is, we see now, because of physical AI, robots have become a lot more useful,” Amon commented.

This strategic pivot towards robotics is echoed by other industry leaders. Jensen Huang, CEO of Nvidia, previously identified robotics as a primary growth avenue for his company.

Robotics is a prominent theme at this year’s Mobile World Congress, with various robotic innovations on display. Notably, Chinese smartphone manufacturer Honor recently unveiled its first humanoid robot, underscoring the accelerating innovation in this sector. Qualcomm’s proactive engagement in the robotics market, driven by its advanced semiconductor technology and AI capabilities, positions it to capitalize on what is widely anticipated to be a transformative technological revolution.