Qualcomm's stock soared 5.06% during intraday trading on Thursday, driven by bullish sentiment surrounding strategic moves to expand its artificial intelligence capabilities.
The surge follows reports that Qualcomm is in advanced talks to acquire AI chip startup Tenstorrent for an estimated $8 billion to $10 billion. If completed, this would represent one of the largest AI chip acquisitions in recent years and signal Qualcomm's strategic commitment to accelerating its transformation into AI computing and data center hardware. Tenstorrent, founded by renowned chip architect Jim Keller, develops AI training and inference accelerators based on the open-source RISC-V architecture, which could address Qualcomm's technology gap in high-end data center compute chips.
Additionally, Qualcomm's collaboration with Visteon on the launch of a new edge AI product line for industrial automation, called D6Sigma, has further bolstered investor confidence in the company's expanding AI portfolio beyond its core mobile business.
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