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Qualcomm and Amazon sign $60 billion AI chip deal

Qualcomm and Amazon Web Services agreed to a long-term partnership that could see Amazon buy up to $60 billion in AI data center chips and related equipment from Qualcomm. As part of the deal, Amazon got warrants to buy about $4 billion in Qualcomm stock if it follows through on product purchases. Qualcomm shares jumped at least 10% after the announcement.

Why it mattersThis doubles down on the race to own data center AI infrastructure, with both hardware and finance deeply intertwined. It also signals more competition for Nvidia and shows cloud giants are eager for chip alternatives.

Sources covering this

CNBCQualcomm stock pops 10% on data center infrastructure deal with Amazon1:12 PMEconomic Times TechQualcomm strikes AI chip deal with Amazon, offers right to buy about $4 billion in stock4:09 PM

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