Telecom Lead America: Chip major Qualcomm on Wednesday said it is focusing more on enhancing its execution capabilities.
At present, its products and solutions can be deployed for commercial purposes in around 60 days from the date of discussing with its partners. “We focus on this issue aggressively. We are trying to reduce the delivery time to less than 60 days. It is in our control,” said Qualcomm CMO Anand Chandrasekher.
According to Chandrasekher, the U.S.-based chip company has three major challenges: First, competition; Second, economy issues and third execution capability.
Qualcomm CMO says competitors activities will be a wake-up call for the company. “We addressed business related issues during our revenue forecast,” he added.
During fiscal 2013, Qualcomm estimates revenues of around $23-$24 billion with year-over-year increase of 20-26 percent.
Qualcomm’s R&D will assist the chip company to enhance performance of its products and acceptance in the market place.
Its R&D expenses increased 31 percent y-o-y primarily due to an increase in costs related to the development of CDMA-based 3G, OFDMA-based 4G LTE and other technologies for integrated circuit and related software products and to expand its intellectual property portfolio.
Meanwhile, Qualcomm on Wednesday mapped three major trends that will have impact on business and consumers.
The first trend is computing refined, according to Chandrasekher, who joined Qualcomm on 6 August from rival Intel.
Qualcomm is observing unprecedented data demand. This is primarily driven by smartphones across the world. “We are working on addressing data demand issues,” he added.
Digital 6th sense is the third trend.
Recently, Paul E. Jacobs, chairman and CEO of Qualcomm, said: “As we continue to invest in and execute on our strategic priorities, our broad licensing program and industry-leading Snapdragon and 3G/LTE chipset roadmap position us for double-digit revenue growth again in fiscal 2013.”
Qualcomm is betting big on 3G and 4G. Its fourth quarter fiscal 2012 was $4.87 billion, up 18 percent year-over-year. Operating income decreased 11 percent sequentially to $1.24 billion. Net income grew 20 percent y-o-y to $1.27 billion.