Thursday, July 30, 2020

Qualcomm cites strong outlook, patent deal w Huawei

Qualcomm reported quarterly revenue of US$4.893 billion and diluted EPS of $0.74, exceeding the high range of its previous guidance. 

Qualcomm also announced a legal settlement and long-term, global patent license agreement with Huawei, including a cross license granting back rights to certain of Huawei’s patents, covering sales beginning January 1, 2020. The settlement is valued approximately $1.8 billion.

“As 5G continues to roll out, we are realizing the benefits of the investments we have made in building the most extensive licensing program in mobile and are turning the technical challenges of 5G into leadership opportunities and commercial wins,” said Steve Mollenkopf, CEO of Qualcomm Incorporated. “We delivered earnings above the high end of our range, continued to execute in our product and licensing businesses and entered into a new long-term patent license agreement with Huawei, all of which position us well for the balance of 2020 and beyond.”