QCOM Stock Set To Roar Into The Week: OpenAI Smartphone Chip Talk Is Lighting The Fuse

• Mass production of the processors is expected in 2028, as per the post.
• Qualcomm, as a processor co-development partner, is likely to benefit from long-term demand for replacements. 
• OpenAI is expected to finalize specifications and suppliers by late 2026 or the first quarter of 2027.

Shares of Qualcomm, Inc. (QCOM) surged more than 6.5% in Sunday’s overnight trading session after reports emerged that OpenAI is working with the company and MediaTek to develop smartphone processors.

According to a post on X from Taiwan-based market analyst Ming-Chi Kuo, best known for Apple (AAPL) tips, mass production of these processors is expected in 2028. Chinese electronics manufacturer Luxshare is reportedly the system co-design and manufacturing partner.

How Will Qualcomm Benefit?

Qualcomm’s Snapdragon system-on-chip (SoC) processors are widely used by major Android smartphone manufacturers, including Samsung and Xiaomi.

OpenAI’s smartphone push could position Qualcomm at the center of a new process in which phone chips are optimized for real-time AI agent inference.  “Only by fully controlling both the operating system and hardware can OpenAI deliver a comprehensive AI agent service,” Kuo said in the post, adding, “Smartphones will remain the largest-scale device category for the foreseeable future.”

Qualcomm, as a processor co-development partner, would also stand to benefit from long-term replacement demand, as per the post. OpenAI is expected to finalize specifications and suppliers by late 2026 or the first quarter of 2027.

QCOM Q2 Earnings Expectations

Meanwhile, Qualcomm’s second-quarter (Q2) earnings are expected on Wednesday. On Wall Street, analysts expect the company to post revenue of $10.56 billion for the quarter, down about 2.6% from a year earlier. Earnings are expected to be $2.58 per share, compared to $2.85 posted in the previous year.

What Are QCOM Retail Traders Saying?

On Stocktwits, retail sentiment around QCOM stock jumped from ‘bullish’ to ‘extremely bullish’ territory over the past 24 hours amid ‘high’ message volumes.

One bullish user predicted that the company's earnings would follow the same trajectory as Intel’s and AMD’s. “More room to run for Qualcomm,” the user said.

Another bullish user predicted that the company’s shares would soar past $250 after earnings. QCOM shares were trading around $157.14 at the time of writing.

QCOM stock has declined nearly 14% year-to-date.

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