Qualcomm has moved swiftly to capture growth in personal artificial intelligence and robotics, reversing earlier perceptions of lagging behind competitors. The company’s collaboration with Meta on the Ray-Ban smart glasses has spiked demand, prompting Qualcomm to boost its production target to between 20 million and 30 million units over the next 12 months. In addition, the February debut of Qualcomm’s Dragonwing IQ10 Series compute platform—designed for mobile robotic applications—positions the business as a pivotal enabler in humanoid AI. Qualcomm has already secured a design win with Figure, a leading developer of autonomous humanoid robots, which plans to integrate the IQ10 Series into its next-generation robotic platform. These initiatives are expected to drive double-digit revenue growth in Qualcomm’s fourth quarter from its advanced technologies division, marking a decisive shift toward higher-margin AI products.

Despite robust momentum in AI and IoT, Qualcomm faces mounting challenges in its core handset segment. Mizuho’s recent downgrade of Qualcomm from Outperform to Neutral cited anticipated share losses in modem shipments, linked to competitive pressures around key smartphone launches. While the company’s automotive and IoT divisions continue to expand at rates exceeding 15%, analysts warn that near-term handset revenue declines could offset these gains. Investor focus now turns to Qualcomm’s early-February earnings report, which will provide clarity on unit volumes for flagship smartphones and the impact of customer inventory adjustments. Technical analysts note that Qualcomm must defend critical chart support levels to prevent further downside, making the forthcoming earnings release a pivotal inflection point for the stock.