The report stated that according to the data submitted by Qualcomm, Qualcomm Design Center will cut 241 positions in Rory, North Carolina. In addition, 43 positions will be cut in California. Informed sources said that the number of the president accounts for the server processing department. A total of one-third to one-half of the total number of employees. Before Qualcomm ended the dispute with another chip maker Broadcom (Boardcom), they had said at a shareholders meeting that the future would be across the company. The reduction of about 1,500 employees in exchange for higher operating profits of the company.
In the past, Qualcomm has evaluated the future opportunities of data center business and thought that it takes too much time to occupy a place in the server processor market. Now, the main goal of Qualcomm server processing business is to target cloud computing centers and Chinese customers. Providing processors. Among them, Qualcomm will provide chips to Chinese customers through Chinese joint ventures. Although Qualcomm had also negotiated with potential investors and buyers, it eventually decided to retain the department. Just changed the strategy.
Qualcomm president Cristiano Amon stated that Qualcomm will continue to look for development opportunities in the data center market and will not give up these assets. However, in adjusting its business strategy, in addition to cutting investment, it will continue to maintain joint ventures in China. Redesign the R&D direction to prepare for the upcoming new personal computer demand.
At present, the entire server processor market is approximately US$14 billion. Intel, the processor company, accounts for 99% of the total. It is because Intel has an absolute advantage. Therefore, most of the software in the industry is handled by Intel. As written by the device, therefore, if you want to compete with Intel, technology providers, including ARM, must ensure that there is enough software for the new server processor to work, and this will not be a matter of time.
In fact, since 2015, Qualcomm’s revenue has declined every year. Moreover, it is estimated that it will be reduced by 5% in 2018. Cristiano Amon pointed out that the opportunity of the server processor department lies in the high-energy processor of the communication base station. This processor is the key component of the communication base station. It can provide the mobile phone with the ability to link and process the business through wireless communication. Cristiano Amon said that with this kind of chip support, the mobile phone can join the VR/AR function and provide An unparalleled experience. It is only that the current experience can only be realized by the PC. If the high pass is to see such a business opportunity, it will advance the server processor market.