Qualcomm CEO: Robotics a ‘Larger Opportunity’ Within Two Years | CNBC

Barcelona, Spain – Qualcomm is betting on robots. CEO Cristiano Amon told CNBC this week that the company anticipates robotics becoming a “larger opportunity” within the next two years, signaling a significant expansion beyond its core smartphone chip business. The projection comes as Qualcomm ramps up its investment in the sector, launching its Dragonwing processor line in January specifically designed for robotics platforms.

Amon’s comments, made during the Mobile World Congress in Barcelona, reflect a growing industry-wide interest in the potential of robotics, fueled in part by recent advances in artificial intelligence. He suggested that the confluence of improved processing power and sophisticated AI models is making robots demonstrably more useful across a wider range of applications. “People have said just robotics alone could be a trillion-dollar opportunity in terms of market size… the reality is, we see now, because of physical AI, robots have become a lot more useful,” Amon said.

Dragonwing and the Smartphone Playbook

Qualcomm’s strategy appears to mirror its success in the smartphone market, where its Snapdragon processors have become a dominant force. The Dragonwing processor is intended to provide a versatile chipset capable of powering diverse robotic systems. This approach aims to avoid fragmentation and establish Qualcomm as a key component supplier across multiple robotics platforms. The company is targeting a broad spectrum of robotic applications, from industrial automation – like robotic arms used in manufacturing – to the increasingly complex field of humanoid robots, currently being developed by companies like Tesla and numerous Chinese firms.

The timing of this push is notable. In May 2025, Amon delivered a keynote speech at COMPUTEX in Taipei, Taiwan, highlighting Qualcomm’s 40 years of innovation and its role in the emerging PC era, according to a Qualcomm press release. This event signaled a broader ambition to extend Qualcomm’s influence beyond mobile.

Market Projections and Competitive Landscape

The potential market for robotics is substantial, though projections vary. McKinsey estimates the market for general-purpose robots could reach $370 billion by 2040, while RBC Capital Markets forecasts a total addressable market of $9 trillion for humanoid robots by 2050. These figures underscore the scale of the opportunity that Qualcomm, and its competitors, are vying for.

Qualcomm isn’t alone in recognizing this potential. Nvidia CEO Jensen Huang stated last year that robotics represents a major growth area for his company, indicating a broader industry trend. The competition is heating up, as evidenced by Honor, a Chinese smartphone manufacturer, teasing its first humanoid robot at Mobile World Congress earlier this month. The launch demonstrates the increasing convergence of mobile technology and robotics.

The AI Factor and “Physical AI”

The increased optimism surrounding robotics isn’t solely attributable to hardware advancements. Amon specifically highlighted the role of artificial intelligence in enhancing robotic capabilities. The combination of powerful processors like Dragonwing and sophisticated AI models allows robots to better perceive and interact with their environment. This concept is increasingly referred to as “physical AI,” emphasizing the integration of AI into physical systems like robots.

Implications for Qualcomm and Investors

For Qualcomm, a successful foray into robotics could diversify its revenue streams and reduce its reliance on the cyclical smartphone market. While smartphones remain a core business, expanding into recent areas like robotics provides a hedge against potential downturns in the mobile sector. However, the robotics market is still nascent, and significant engineering challenges remain in developing robust and reliable robotic systems.

The company’s ability to execute on its robotics strategy will be closely watched by investors. The Dragonwing processor represents a crucial first step, but Qualcomm will need to forge partnerships with robotics manufacturers and demonstrate the value of its technology in real-world applications. The next two years will be critical in determining whether robotics can indeed become a “larger opportunity” for the chip giant.

What’s Next for Qualcomm in Robotics

Qualcomm’s immediate focus will likely be on expanding the adoption of its Dragonwing processor and building out its robotics ecosystem. This will involve working closely with robotics developers to optimize software and algorithms for the platform. The company will likewise need to address the complex engineering challenges associated with robotics, such as power management, sensor integration, and motion control. Further announcements regarding partnerships and new robotics applications are expected in the coming months. Investors will be looking for concrete evidence of traction in the robotics market, including revenue figures and customer wins, to validate Amon’s optimistic outlook.