For years, Qualcomm has been synonymous with smartphone innovation, powering countless devices powered by Snapdragon processors. But the tech giant is making some interesting moves, focusing on technologies like augmented reality (XR), virtual reality (VR), and automotive. This strategic shift reflects Qualcomm’s vision to expand its footprint in areas poised to define the next era of technological advancement.
This move is not surprising considering the smartphone market has plateaued. Global smartphone shipments fell 11% in 2023, the industry’s lowest level in nearly a decade, according to data from Counterpoint Research. Qualcomm’s diversification comes at a time when industries like XR and connected vehicles are experiencing rapid growth and providing fertile ground for innovation.
XR and VR revolution
Augmented reality and virtual reality are two of Qualcomm’s most promising ventures. XR, which blends the real world with digital elements, and VR, which creates fully immersive virtual environments, are predicted to revolutionize industries from gaming and entertainment to education and healthcare. Qualcomm has already established itself as a leader in this space with its Snapdragon XR platform, which is used in devices such as the Meta Quest series.
According to IDC data, global XR shipments are expected to grow at a compound annual growth rate (CAGR) of 48.1% from 2023 to 2028, reaching 80 million units per year by the end of the forecast period. Qualcomm chips are designed to support these devices, delivering high efficiency and low latency for a seamless user experience.
Qualcomm is firmly established at the forefront of augmented reality (XR), virtual reality (VR), and augmented reality (AR) technology, powering some of the most advanced products in these categories. We supply chipsets. With devices like Meta headsets and smart sunglasses gaining traction, Qualcomm’s Snapdragon XR platform is shaping the future of immersive experiences. Learn how Qualcomm technology is driving this innovation and what the future holds.
Qualcomm’s Snapdragon XR platform is the foundation of many AR and VR devices, providing the processing power needed for seamless, immersive experiences. These platforms enable real-time spatial computing, precise hand tracking, and high-resolution visuals that are essential for next-generation AR and VR products. Designed with efficiency in mind, Snapdragon XR solutions also focus on extending battery life, a critical factor for wearable devices.
Meta, one of the leaders in the XR space, relies heavily on Qualcomm technology. Launching in 2023, Meta Quest 3 will use the Snapdragon XR2 Gen 2 chipset. This provides improved performance, better graphics, and an enhanced mixed reality experience compared to previous versions. With features like advanced room mapping and multitasking capabilities, Quest 3 offers one of the most sophisticated VR experiences.
Another standout product is Meta’s smart sunglasses, developed in collaboration with Ray-Ban. These glasses integrate Qualcomm technology to enable lightweight AR features such as real-time navigation, smart notifications, and voice assistants. These are made possible by Qualcomm’s efficient chipsets and offer a glimpse into a future where AR is seamlessly integrated into everyday life.
Qualcomm is already working on the Snapdragon AR1 and XR3 platforms, aimed at pushing the boundaries of immersive technology. These platforms promise enhanced AI capabilities, ultra-low latency, and support for advanced features such as simultaneous localization and mapping (SLAM), which is essential for accurate AR rendering. Qualcomm is also focused on advancing 5G capabilities to improve connectivity for AR and VR devices and ensure faster data transfer and smoother streaming.
Over the next few years, Qualcomm plans to deepen its partnerships with major companies such as Meta, Microsoft, and Lenovo, and expand its reach into more consumer-oriented devices. Qualcomm is laying the foundation for XR technology to become mainstream by enabling AR and VR products that are lighter, more powerful, and more affordable.
As the XR industry evolves, Qualcomm’s innovations aim to redefine how users interact with the digital and physical worlds, merging them into a unified, immersive reality.
revolutionize the automobile
Qualcomm has made great strides in the automotive industry with its Snapdragon platform, specifically Snapdragon Cockpit and Snapdragon Ride. Each of these platforms is designed to enhance the in-car experience and support advanced driver assistance systems (ADAS). The impact is especially noticeable in fast-growing automotive markets like India and China.
The Snapdragon Cockpit platform is focused on delivering advanced digital experiences inside the vehicle. It integrates infotainment, instrument cluster, and passenger entertainment into an integrated system that provides seamless connectivity and personalized interactions for drivers and passengers. The platform’s features include high-resolution displays, premium audio, and an AI-driven virtual assistant, all aimed at improving the in-car experience.
Snapdragon Ride is Qualcomm’s comprehensive platform for ADAS and autonomous driving. We provide scalable solutions that support various levels of autonomous driving, from basic driver assistance to fully automated driving. The platform is designed to process vast amounts of sensor data in real-time, enabling features such as lane-keeping assist, adaptive cruise control, and autonomous parking.
Chinese automotive giants such as NIO, XPeng, Li Auto, and Great Wall Motors are highly integrating Qualcomm’s Snapdragon platform to power their vehicles. For example, XPeng has integrated Snapdragon Cockpit into its P7 electric sedan to provide advanced AI-driven infotainment and seamless in-car connectivity. Similarly, NIO leverages the platform to enhance digital cockpit capabilities, delivering high-resolution displays and personalized user experiences.
In the Snapdragon Ride space, our partnerships with Chinese self-driving solution providers are shaping the future of mobility. For example, Qualcomm is collaborating with Baidu’s Apollo program to deliver scalable self-driving solutions. These partnerships are in line with China’s aggressive push towards smarter and safer vehicles and solidify Qualcomm’s presence in the country.
According to Canalys, Qualcomm will capture 67% market share in China’s digital cockpit domain controller market in the first half of 2024.
This advantage is due to Qualcomm’s scalable solutions that address customization trends among Chinese automakers and enable them to differentiate their products in a competitive market.
Additionally, partnerships with major Chinese automotive brands such as Li Auto and Great Wall Motors have strengthened Qualcomm’s presence in the region. These partnerships are focused on developing intelligent in-car experiences and advanced driver assistance features, in line with the Chinese government’s commitment to smart autonomous vehicles.
Similar to China, the Indian car market is on a growth trajectory, with increasing consumer demand for connected and feature-rich vehicles. Qualcomm’s Snapdragon platform is well-positioned to support this evolution by providing automakers with the tools to integrate advanced infotainment systems and ADAS features.
In India, Qualcomm is working with major automakers such as Tata Motors, Mahindra and Maruti Suzuki to improve the driving and passenger experience. Tata Motors, for example, uses Snapdragon Cockpit in its premium SUV range to offer features like connected infotainment, voice assistant, and integrated digital instrument cluster.
Snapdragon Ride is still new to the Indian market, but it’s gaining traction as automakers explore ADAS and self-driving capabilities. Our partnership with Bosch India and other Tier 1 suppliers allows us to offer scalable solutions for features such as adaptive cruise control and lane departure warning. This positions Qualcomm as a key enabler in India’s journey towards safer and smarter vehicles.
Although Qualcomm’s specific market share data in the Indian automotive space is limited, the company’s global expertise and scalable solutions make it a valuable partner for Indian automakers looking to enhance their vehicle offerings. I am. The Snapdragon Cockpit platform enables Indian manufacturers to deliver a personalized and connected in-car experience to meet the expectations of tech-savvy consumers.
The latest versions of Qualcomm’s automotive platforms, Snapdragon Cockpit Elite and Snapdragon Ride Elite, were announced at Snapdragon Summit 2024. These platforms are powered by Qualcomm’s Oryon CPU, delivering 3x performance improvements and 12x improvements in AI capabilities compared to before. generation.
These advances enable real-time processing and context awareness that are essential for applications such as ADAS and autonomous driving. Enhanced AI capabilities also support features such as real-time driver monitoring, advanced visual recognition, and personalized in-car experiences to meet the evolving demands of consumers in both China and India.
A data-driven future
Qualcomm’s expansion into these industries is underpinned by a clear focus on data and analytics. Its platform is designed to process and leverage the large amounts of data generated by XR devices and connected cars. This data not only improves the functionality of individual devices, but also drives broader innovations such as predictive vehicle maintenance and personalized XR experiences.
The company is also investing heavily in AI, which will play a pivotal role in its new business. Qualcomm’s AI capabilities enable features such as natural language processing in XR headsets and real-time decision-making in self-driving cars. Our focus on AI allows Qualcomm to stay one step ahead in an increasingly competitive technology environment.
Qualcomm’s diversification is promising, but not without challenges. For example, the XR market is still in its infancy and mass adoption could take several years. Similarly, the auto industry, especially in India, faces hurdles such as lack of infrastructure and high cost of EVs, which could impact Qualcomm’s growth trajectory.
But the opportunities far outweigh the challenges. By positioning itself as a pioneer in XR, VR, and connected vehicle technologies, Qualcomm is entering a field that is expected to dominate the future. With a robust portfolio of solutions and strategic partnerships around the world, the company is poised to succeed in new ventures.
Qualcomm’s evolution from a smartphone-centric company to a leader in emerging technologies is a testament to its adaptability and forward-thinking strategy. Whether it’s enabling immersive reality or powering tomorrow’s cars, Qualcomm is charting a new path that could redefine its role in the world of technology. For India and China, two of our most dynamic markets, this shift is not only groundbreaking, but promises transformational innovation for millions of people.
