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1、UNITED STATESSECURITIES AND EXCHANGE COMMISSIONWASHINGTON,D.C.20549FORM 10-K(Mark one)ANNUAL REPORT PURSUANT TO SECTION 13 OR 15(d)OF THE SECURITIES EXCHANGE ACT OF 1934For the fiscal year ended September 29,2024OR TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d)OF THE SECURITIES EXCHANGE ACT OF 19

2、34For the transition period from to .Commission File Number 0-19528QUALCOMM Incorporated(Exact name of registrant as specified in its charter)Delaware95-3685934(State or Other Jurisdiction of Incorporation orOrganization)(I.R.S.EmployerIdentification No.)5775 Morehouse Dr.,San Diego,California92121-

3、1714(Address of Principal Executive Offices)(Zip Code)(858)587-1121(Registrants telephone number,including area code)Securities registered pursuant to Section 12(b)of the Act:Title of Each Class Trading Symbol(s)Name of Each Exchange on Which RegisteredCommon stock,$0.0001 par value QCOM The Nasdaq

4、Stock Market LLCSecurities registered pursuant to Section 12(g)of the Act:NoneIndicate by check mark if the registrant is a well-known seasoned issuer,as defined in Rule 405 of the Securities Act.Yes No Indicate by check mark if the registrant is not required to file reports pursuant to Section 13 o

5、r Section 15(d)of the Act.Yes No Indicate by check mark whether the registrant(1)has filed all reports required to be filed by Section 13 or 15(d)of the Securities Exchange Act of 1934 duringthe preceding 12 months(or for such shorter period that the registrant was required to file such reports),and

6、(2)has been subject to such filing requirements forthe past 90 days.Yes No Indicate by check mark whether the registrant has submitted electronically every Interactive Data File required to be submitted pursuant to Rule 405 ofRegulation S-T(232.405 of this chapter)during the preceding 12 months(or f

7、or such shorter period that the registrant was required to submit such files).Yes No Indicate by check mark whether the registrant is a large accelerated filer,an accelerated filer,a non-accelerated filer,a smaller reporting company or anemerging growth company.See the definitions of“large accelerat

8、ed filer,”“accelerated filer,”“smaller reporting company,”and“emerging growth company”inRule 12b-2 of the Exchange Act.Large accelerated filerAcceleratedfilerNon-accelerated filerSmaller reportingcompanyEmerging growthcompanyIf an emerging growth company,indicate by check mark if the registrant has

9、elected not to use the extended transition period for complying with any new orrevised financial accounting standards provided pursuant to Section 13(a)of the Exchange Act.Indicate by check mark whether the registrant has filed a report on and attestation to its managements assessment of the effecti

10、veness of its internal controlover financial reporting under Section 404(b)of the Sarbanes-Oxley Act(15 U.S.C.7262(b)by the registered public accounting firm that prepared or issued itsaudit report.If securities are registered pursuant to Section 12(b)of the Act,indicate by check mark whether the fi

11、nancial statements of the registrant included in the filingreflect the correction of an error to previously issued financial statements.Indicate by check mark whether any of those error corrections are restatements that required a recovery analysis of incentive-based compensation received byany of t

12、he registrants executive officers during the relevant recovery period pursuant to 240.10D-1(b).Indicate by check mark whether the registrant is a shell company(as defined in Rule 12b-2 of the Act).Yes No The aggregate market value of the voting and non-voting common equity held by non-affiliates of

13、the registrant at March 22,2024(the last business day of theregistrants most recently completed second fiscal quarter)was$190.0 billion,based upon the closing price of the registrants common stock on that date asreported on the NASDAQ Global Select Market.The number of shares outstanding of the regi

14、strants common stock was 1,111 million at November 4,2024.DOCUMENTS INCORPORATED BY REFERENCEPortions of the registrants definitive Proxy Statement for its 2025 Annual Meeting of Stockholders,to be filed with the Commission subsequent to the datehereof,are incorporated by reference into Part III of

15、this Annual Report where indicated.QUALCOMM IncorporatedForm 10-KFor the Fiscal Year Ended September 29,2024IndexPage Risk Factors Summary4PART I Item 1.Business6Item 1A.Risk Factors18Item 1B.Unresolved Staff Comments36Item 1C.Cybersecurity37Item 2.Properties38Item 3.Legal Proceedings38Item 4.Mine S

16、afety Disclosures38 PART II Item 5.Market for Registrants Common Equity,Related Stockholder Matters and Issuer Purchases of Equity Securities39Item 6.(Reserved)40Item 7.Managements Discussion and Analysis of Financial Condition and Results of Operations40Item 7A.Quantitative and Qualitative Disclosu

17、res about Market Risk48Item 8.Financial Statements and Supplementary Data49Item 9.Changes in and Disagreements with Accountants on Accounting and Financial Disclosure49Item 9A.Controls and Procedures49Item 9B.Other Information50Item 9C.Disclosure Regarding Foreign Jurisdictions that Prevent Inspecti

18、ons50 PART III Item 10.Directors,Executive Officers and Corporate Governance51Item 11.Executive Compensation51Item 12.Security Ownership of Certain Beneficial Owners and Management and Related Stockholder Matters51Item 13.Certain Relationships and Related Transactions,and Director Independence51Item

19、 14.Principal Accounting Fees and Services51 PART IV Item 15.Exhibits and Financial Statement Schedules51Item 16.Form 10-K Summary553Risk Factors Summary:Our business is subject to numerous risks and uncertainties,including those described in“Part I,Item 1A,Risk Factors”of this Annual Report.These r

20、isksinclude,but are not limited to,the following:RISKS RELATED TO OUR OPERATING BUSINESSESWe derive a significant portion of our revenues from a small number of customers and licensees,and particularly from their sale of premium tier handsetdevices.If revenues derived from these customers or license

21、es decrease or the timing of such revenues fluctuates,our business and results of operationscould be negatively affected.Our business,particularly our semiconductor business,may suffer as a result of our customers vertically integrating(i.e.,developing their ownintegrated circuit products).A signifi

22、cant portion of our business is concentrated in China,and the risks of such concentration are exacerbated by U.S./China trade and nationalsecurity tensions.RISKS RELATED TO NEW INITIATIVESOur growth depends in part on our ability to extend our technologies and products into new and expanded product

23、areas,and industries and applicationsbeyond mobile handsets.Our research,development and other investments in these new and expanded product areas,industries and applications,andrelated technologies and products,as well as in our existing technologies and products,and new technologies,may not genera

24、te operating income orcontribute to future results of operations that meet our expectations.We may engage in acquisitions and other strategic transactions or make investments,or be unable to consummate planned strategic acquisitions,whichcould adversely affect our results of operations or fail to en

25、hance stockholder value.RISKS RELATED TO SUPPLY AND MANUFACTURINGWe depend on a limited number of third-party suppliers for the procurement,manufacture,assembly and testing of our products manufactured in afabless production model.If we fail to execute supply strategies that provide supply assurance

26、,technology leadership and reasonable margins,ourbusiness and results of operations may be harmed.We are also subject to order and shipment uncertainties that could negatively impact our results ofoperations.There are numerous risks associated with the operation and control of our manufacturing faci

27、lities,including a higher portion of fixed costs relative to afabless model;environmental compliance and liability;impacts related to climate change;exposure to natural disasters,health crises,geopoliticalconflicts and cyber-attacks;timely supply of equipment and materials;and various manufacturing

28、issues.RISKS RELATED TO CYBERSECURITY OR MISAPPROPRIATION OF OUR CRITICAL INFORMATIONOur business and operations could suffer in the event of security breaches of our IT systems,or other misappropriation of our technology,intellectualproperty or other proprietary or confidential information.RISKS RE

29、LATED TO HUMAN CAPITAL MANAGEMENTWe may not be able to attract or retain qualified employees.RISKS SPECIFIC TO OUR LICENSING BUSINESSThe continued and future success of our licensing programs requires us to continue to evolve our patent portfolio and to renew or renegotiate licenseagreements that ar

30、e expiring.Efforts by some OEMs to avoid paying fair and reasonable royalties for the use of our intellectual property may require the investment of substantialmanagement time and financial resources and may result in legal decisions or actions by governments,courts,regulators or agencies,StandardsD

31、evelopment Organizations(SDOs)or other industry organizations that harm our business.Changes in our patent licensing practices,whether due to governmental investigations,legal challenges or otherwise,could adversely impact ourbusiness and results of operations.4RISKS RELATED TO REGULATORY AND LEGAL

32、CHALLENGESOur business may suffer as a result of adverse rulings in governmental investigations or proceedings or other legal proceedings.RISKS RELATED TO INDUSTRY DYNAMICS AND COMPETITIONOur revenues depend on our customers and licensees sales of products and services based on CDMA,OFDMA and other

33、communications technologies,including 5G,and customer demand for our products based on these technologies.Our industry is subject to intense competition in an environment of rapid technological change.Our success depends in part on our ability to adapt tosuch change and compete effectively;and such

34、change and competition could result in decreased demand for our products and technologies or decliningaverage selling prices for our products or those of our customers or licensees.RISKS RELATED TO PRODUCT DEFECTS OR SECURITY VULNERABILITIESFailures in our products,or in the products of our customer

35、s or licensees,including those resulting from security vulnerabilities,defects or errors,couldharm our business.RISKS RELATED TO INTELLECTUAL PROPERTYThe enforcement and protection of our intellectual property may be expensive,could fail to prevent misappropriation or unauthorized use of ourintellec

36、tual property,could result in the loss of our ability to enforce one or more patents,and could be adversely affected by changes in patent laws,bylaws in certain foreign jurisdictions that may not effectively protect our intellectual property and by ineffective enforcement of laws in such jurisdictio

37、ns.Claims by other companies that we infringe their intellectual property could adversely affect our business.Our use of open source software may harm our business.GENERAL RISK FACTORSWe operate in the highly cyclical semiconductor industry,which is subject to significant downturns.We are also susce

38、ptible to declines in global,regionaland local economic conditions generally.Our stock price and financial results are subject to substantial quarterly and annual fluctuations due to thesedynamics,among others.Geopolitical conflicts,natural disasters,pandemics and other health crises,and other facto

39、rs outside of our control,could significantly disrupt ourbusiness.Our business may suffer due to the impact of,or our failure to comply with,the various existing,new or amended laws,regulations,policies or standardsto which we are subject.There are risks associated with our debt.Tax liabilities coul

40、d adversely affect our results of operations.5In this Annual Report,the words“Qualcomm,”the“Company,”“we,”“our,”“ours”and“us”refer only to QUALCOMM Incorporated and its subsidiariesand not any other person or entity.This Annual Report(including but not limited to the section titled“Managements Discu

41、ssion and Analysis of FinancialCondition and Results of Operations”)contains forward-looking statements.Words such as“expects,”“anticipates,”“intends,”“plans,”“believes,”“seeks,”“estimates,”“may,”“will,”“would”and similar expressions or variations of such words are intended to identify forward-looki

42、ng statements,but are not theexclusive means of identifying forward-looking statements in this Annual Report.Additionally,statements concerning future matters such as our future business,prospects,results of operations or financial condition;research and development or technology investments;new or

43、enhanced products,services or technologies;emerging industries or business models;design wins or product launches;industry,market or technology trends,dynamics or transitions;our expectationsregarding future demand or supply conditions;strategic investments or acquisitions,and the anticipated timing

44、 or benefits thereof;legal or regulatory matters;U.S./China trade or national security tensions;vertical integration by our customers;competition;and other statements regarding matters that are not historical arealso forward-looking statements.Although forward-looking statements in this Annual Repor

45、t reflect our good faith judgment,such statements can only be based on facts and factors currentlyknown by us.Consequently,forward-looking statements are inherently subject to risks and uncertainties and actual results and outcomes may differ materiallyfrom the results and outcomes discussed in or a

46、nticipated by the forward-looking statements.Factors that could cause or contribute to such differences in resultsand outcomes include without limitation those discussed under“Part I,Item 1A.Risk Factors”below,as well as those discussed elsewhere in this Annual Report.Readers are urged not to place

47、undue reliance on these forward-looking statements,which speak only as of the date of this Annual Report.We undertake noobligation to revise or update any forward-looking statements in order to reflect any event or circumstance that may arise after the date of this Annual Report.Readers are urged to

48、 carefully review and consider the various disclosures made in this Annual Report,which attempt to advise interested parties of the risks andfactors that may affect our business,financial condition,results of operations and prospects.PART IItem 1.BusinessWe incorporated in California in 1985 and rei

49、ncorporated in Delaware in 1991.We operate and report using a 52-53 week fiscal year ending on the lastSunday in September.Our 52-week fiscal years consist of four equal fiscal quarters of 13 weeks each,and our 53-week fiscal years consist of three 13-week fiscalquarters and one 14-week fiscal quart

50、er.The financial results for our 53-week fiscal years and our 14-week fiscal quarters will not be exactly comparable to our52-week fiscal years and our 13-week fiscal quarters.Our fiscal years for 2024,2023 and 2022 included 53 weeks,52 weeks and 52 weeks,respectively.Ourfiscal year for 2025 will in

51、clude 52 weeks.OverviewWe are a global technology leader,helping to bring intelligent computing everywhere through the development and commercialization of foundationaltechnologies,including 3G(third generation),4G(fourth generation)and 5G(fifth generation)wireless connectivity,high-performance and

52、low-power computingand on-device artificial intelligence(AI).Our technologies and products have helped power the growth in smartphones and other connected devices.We arescaling our innovations across industries and applications beyond mobile handsets,driving digital transformation with our ecosystem

53、 partners in areas includingautomotive and the internet of things(IoT).In automotive,our Snapdragon Digital Chassis platforms,including connectivity,digital cockpit and advanceddriver assistance and automated driving(ADAS/AD),are helping to connect the car to its environment and the cloud,creating u

54、nique in-cabin experiences andenabling a comprehensive assisted and automated driving solution.In IoT,our inventions have helped power growth in industries and applications such asconsumer(including personal computers(PCs),tablets,voice and music and extended reality(XR),edge networking(including mo

55、bile broadband and wirelessaccess points)and industrial(including handhelds,retail,tracking and logistics and utilities).We derive revenues principally from sales of integrated circuitproducts,including our Snapdragon family of highly-integrated,system-based solutions,and licensing of our intellectu

56、al property,including patents and otherrights.The foundational technologies we invent help power modern digital experiences.We share these inventions broadly through our licensing programs enablingwide ecosystem access to technologies at the core of mobile innovation,and through the sale of our inte

57、grated circuit platforms(also known as integrated circuitproducts,chips,chipsets or modules)and other products.We innovate and collaborate across many ecosystems,including with manufacturers,operators,developers,system integrators,cloud providers,test tool vendors,service providers,governments and i

58、ndustry standards organizations,to enable next-generationdigital transformation.For nearly 40 years,we have been a leader in setting industry standards and creating era-defining technology breakthroughs,and wecontinue to play a leading role in developing system-level inventions that serve as the fou

59、ndation for multiple generations of advanced wireless technologies.Thisincludes technologies such as CDMA(Code Division Multiple Access)and OFDMA(Orthogonal Frequency Division Multiple Access)families of technologies,with the latter encompassing LTE(Long-Term Evolution)and 5G NR(New Radio),which are

60、 the primary digital technologies currently used to transmit voice ordata over radio waves using a public or private cellular wireless network.6We own significant intellectual property,including patents,patent applications and trade secrets,applicable to products that implement any version of CDMAan

61、d/or OFDMA technologies.We also develop and commercialize numerous other key technologies used in mobile and other devices and services,and we ownsubstantial intellectual property related to these technologies.Some of these inventions are contributed to and commercialized as industry standards,such

62、as forcertain video and audio codecs,Wi-Fi,position location,UWB(ultra-wideband),Bluetooth,memory and component interconnect.We have also developed othertechnologies that are used by wireless and other devices that are not related to industry standards,such as operating systems,user interfaces,graph

63、ics and cameraprocessing functionality,RF(radio frequency),RFFE(radio frequency front-end)and antenna designs,AI and machine learning techniques and applicationprocessor architectures,among other technologies.We are organized on the basis of products and services and have three reportable segments.W

64、e conduct business primarily through our QCT(QualcommCDMA Technologies)semiconductor business and our QTL(Qualcomm Technology Licensing)licensing business.QCT develops and supplies integrated circuitplatforms and system software with advanced connectivity and high-performance,low-power computing tec

65、hnologies for use in mobile devices;automotivesystems for connectivity,digital cockpit and ADAS/AD;and IoT including consumer electronic devices,industrial devices and edge networking products.QTLgrants licenses or otherwise provides rights to use portions of our intellectual property portfolio,whic

66、h includes certain patent rights essential to and/or useful inthe manufacture and sale of certain wireless products.Our QSI(Qualcomm Strategic Initiatives)reportable segment makes strategic investments.We also havenonreportable segments,including QGOV(Qualcomm Government Technologies)and our cloud c

67、omputing processing initiative.Industry TrendsAs the largest technology platform in the world,mobile has transformed the way we connect,compute and communicate.Advanced connectivity and high-performance,low-power computing technologies from mobile are also impacting many industries beyond wireless,e

68、mpowering new services,new businessmodels,and new ways to engage and interact with customers.Our breakthrough inventions and licensing programs have been integral to the demand andevolution of the mobile industry.Artificial Intelligence.Advancements in processor technologies have enabled the distrib

69、ution and coordination of complex workloads across the cloud andedge devices to provide enhanced performance and efficiency across use cases.Given the proximity to raw data,edge device computing allows for more context-aware processing,reducing response time,improving privacy and security,and enabli

70、ng greater personalization.With increased processing power,mobilehandsets and PCs are becoming pervasive AI platforms,with complex large generative AI algorithms running on-device,enabling on-demand and contextual AIuse cases at a fraction of the energy required by cloud-based applications.As wirele

71、ss connectivity complements on-device generative AI,edge devices enableenhanced productivity use cases,while intelligently processing and sharing data with cloud-based applications as needed.Building on the smartphone and PCfoundation,we envision generative AI becoming ubiquitous,continuing to expan

72、d into industries and applications such as IoT,XR and automotive.Significant investment continues across many industries in the development of complex large language models(LLMs),more tailored small language models(SLMs),large vision models(LVMs),large multimodal models(LMMs)and other generative AI

73、models,which are beginning to change the landscape of the userexperience.LLMs and SLMs(e.g.,GPT-4o and Llama3)are used for text-based natural language processing applications such as answering queries,documentsummarization and creation,LVMs(e.g.,Stable Diffusion and ControlNet)are used for image and

74、 video processing,and LMMs are used to understand andprocess multiple types of data inputs or modalities such as text and images.They are disrupting traditional methods of search,content creation,recommendationsystems and personalized digital assistants,offering significant enhancements in consumer

75、utility and productivity.While these generative AI models aredeveloped primarily for use in the cloud,we believe that the variety of innovative enterprise and consumer use cases that have emerged and will continue toemerge from generative AI must run on-device to maximize their utility,and bring the

76、 benefits of immediacy,privacy,security and personalization to consumers.We expect continued advancement in the generative AI capabilities of edge devices and increased adoption of generative AI capable technologies in handsets andother edge devices.For example,analysts estimate that 46%of smartphon

77、es sold in 2027 will be generative AI capable,up from 19%in 2024(Counterpoint,October 2024).Advancing Connectivity.3G technology introduced the world to the potential of the mobile internet,and the ability to access the internet virtually anytimeand anywhere.4G brought mobile broadband speeds that h

78、elped fuel the smartphone era,forever changing the way we work,live and connect with others.4G hasserved as the technology foundation for many of the applications and services used today,including e-commerce,video streaming,video calling,social media andgaming.Building on foundational innovations de

79、veloped for 3G and 4G,the mobile industry continues to transition to 5G technology as 5G network deployments anddevice launches continue,particularly in emerging regions.5G is designed to support multi-gigabit data rates,low latency and greater capacity than previousgenerations of mobile technology

80、to enable enhanced mobile broadband experiences,including ultra-high definition(4K)video streaming and sharing,near-instantaneous access to cloud services,immersive cloud gaming and XR,which includes augmented reality(AR),virtual reality(VR)and mixed reality(MR).5Gs performance and capacity improvem

81、ents are also enabling operators to offer new consumer and enterprise services.5G Advanced builds upon the initial 5Gstandards to enhance system capabilities and expand into new use cases.It introduces key improvements for continued 5G commercialization,supports a range ofservices7beyond mobile broa

82、dband,and lays the groundwork for the upcoming 6G platform.5G Advanced is a transformative step,integrating features like wireless AI todrive innovation across the 5G ecosystem.Consumer Demand for Smartphones.For calendar year 2024,we estimate that consumer demand for 3G,4G,and 5G handset volumes wi

83、ll increase by alow-to-mid-single digit percentage relative to calendar year 2023.This estimate includes expected high single-digit to low double-digit percentage growth in 5Ghandsets.Consumer demand for new experiences,combined with the needs of mobile operators and device manufacturers to provide

84、differentiated features andservices,is driving continued innovation within the smartphone across connectivity,processing,AI,multimedia,imaging,audio and more.As a result,thesmartphone continues to be the go-to device for social networking,music and video streaming,photography and video capture,e-com

85、merce,gaming,email,webbrowsing and more.We believe that the combination of 5G and AI will enable these experiences to be more immersive,intuitive and interactive.Automotive.Digitalization of the automotive cockpit including wireless connectivity continues to transform the in-vehicle experience,enabl

86、ing greaterpersonalization of content and settings for both drivers and passengers as automakers respond to growing interest from consumers to bring their digital lifestylesinto the vehicle.Car-to-cloud platforms are designed to help automakers improve cost efficiencies,create new service opportunit

87、ies throughout the lifecycle of avehicle with over-the-air(OTA)update capabilities and gather valuable vehicle and usage analytics.This is driving the development of a new architecture for thesoftware-defined vehicle.According to analyst data,67%of new vehicles produced in 2030 are projected to have

88、 embedded cellular connectivity,with 48%ofnew vehicles featuring 5G connectivity compared to 11%of new vehicles featuring 5G connectivity in 2024(TechInsights,September 2024).In addition,high-performance,low-power computing technologies,with added security and safety required for automotive products

89、,are being used to improve vehicles withadvanced driver assistance and automated driving features that we expect to scale across vehicle tiers and continue the progression toward higher levels ofautonomy,safety and convenience.Analysts estimate that 39%of new light duty vehicles sold globally in 202

90、7 will have Level 2(i.e.,partial driving automation)or higher autonomy,compared to an estimated 20%of new light duty vehicles sold globally in 2024(TechInsights,September 2024).IoT.Industry demand for IoT devices is expected to remain strong across consumer,edge networking and industrial application

91、s,in part due to expanded usecases enabled by 5G and AI technologies,including generative AI.Consumer.Consumer IoT products,including personal computing(e.g.,tablets and PCs),voice and music and XR,continue to adopt the latest mobileconnectivity,processing and intelligence technologies including on-

92、device AI capabilities.This enables new services,applications and experiences that can be rundirectly on the device,driving improvements in latency,cost and privacy.For example,a new class of AI-focused PCs,including those powered by ourSnapdragon X Series platforms,launched in 2024,allowing for inc

93、reased productivity and enhanced use cases enabled by on-device AI processing at low power.By 2027,analysts expect that at least 50%of PCs sold will be AI capable,compared to 22%of PCs in 2024(consensus of certain third party analysts as ofOctober 1,2024).Edge Networking.Advances in wireless technol

94、ogy are helping to drive demand for edge networking products(including mobile broadband and wirelessaccess points).5G provides the flexibility to support both mobile and fixed wireless users with the delivery of high-speed,low-latency connections,enablingoperators to replace traditional“last-mile”wi

95、red broadband connections.Additionally,advancements in Wi-Fi are driving consumer and enterprise demand for thelatest Wi-Fi 6,6E,and 7 access point technologies that leverage increased network speed,capacity and efficiency to support the increased number of connecteddevices at home and at work.Indus

96、trial.The combination of IoT devices with connectivity,computing,on-device AI and power-optimized and precise location tracking along with thecloud are helping to bring near real-time data and insights in industries such as retail,tracking and logistics and energy.This allows companies to gain newkn

97、owledge and insights about their products and services,manufacturing and logistics processes and more,which can help to transform and optimize theirbusinesses.Technology OverviewThe worldwide demand for intelligent computing everywhere requires continuous innovation to improve user experiences,suppo

98、rt new services,expand on-device processing and AI capabilities at low power,and increase wireless connectivity capacity and performance.To meet these requirements,differentfoundational technologies,including wireless communications,computing(including on-device AI),multimedia and location,continue

99、to evolve.We have a longhistory of investing heavily in research and development and have developed many of these foundational technologies that help drive the continued evolution inmobile,automotive and IoT.We have also developed and acquired(and continue to develop and acquire)significant related

100、intellectual property.This intellectualproperty has been incorporated into the most widely accepted and deployed cellular wireless communications technology standards,and we have licensed it toseveral hundred licensees,including all of the leading handset manufacturers.8Cellular Wireless Technologie

101、s.Relevant cellular wireless technologies can be grouped into the following categories.CDMA-based.CDMA-based technologies are characterized by their access method allowing several users to share the same frequency and time by allocatingdifferent orthogonal codes to individual users.Most of the CDMA-

102、based technologies are classified as 3G technology.CDMA-based connections worldwidecontinue to decline as consumers migrate to OFDMA-based technologies,which comprise the majority of cellular connections today.OFDMA-based.OFDMA-based technologies are characterized by their access method allowing sev

103、eral users to share the same frequency band and time byallocating different subcarriers to individual users.5G heavily leverages OFDMA-based technologies,while most of the OFDMA-based technologies deployedprior to 2020 are classified as 4G technology.The 4G specifications were defined within 3GPP(3r

104、d Generation Partnership Project),a global organization thatdevelops technical specifications,including the specification of the radio component(LTE)and the core network component(Enhanced Packet Core or EPC).3GPP has been developing the 5G system through the specification of the radio component(NR)

105、and the core network component(5G Core or 5GC).Unlike 4Gthat has fixed Orthogonal Frequency Division Multiplexing(OFDM)parameterization,5G has multiple OFDM parameterizations to address a wide range ofspectrum and use cases.The first 5G specification,3GPP Release 15,was initially completed in 2018.5

106、G is designed to transform the role of wireless technologies and incorporatesadvancements on 3G/4G features,including device-to-device capabilities and the use of all different types of spectrum(including licensed,unlicensed and sharedspectrum).3GPP specifications also provide enhancements specifica

107、lly for C-V2X(cellular vehicle-to-everything),which includes both direct communication(vehicle-to-vehicle,vehicle-to-infrastructure and vehicle-to-pedestrian)in dedicated spectrum that is independent of a cellular network and cellularcommunications with networks in traditional mobile broadband licen

108、sed spectrum.Many of our inventions at the core of 3G and 4G serve as the foundationaltechnologies for 5G,and we continue to play a significant role in driving advancements in 5G,including contributing to 3GPP standardization activities that aredefining the continued evolution of 5G NR and 5G Core s

109、tandards into 5G Advanced,as well as establishing the requirements for 6G.5G has the ability to target diverse services with very different technical requirements(from enhanced mobile broadband to massive IoT to mission criticalservices),utilize diverse types of spectrum(from low bands to millimeter

110、 wave(mmWave)bands)and support diverse types of deployment scenarios.Predominant technological components of 5G include ultra-reliable,low-latency communication,very wide channel bandwidth and new channel coding schemesto efficiently support large data blocks,MIMO(multiple input,multiple output)to i

111、ncrease coverage and network capacity and mobile mmWave to increase thedata rate offered to users.As with previous cellular generations,5G is designed to support seamless compatibility with 3G/4G technologies through multimodedevices.Following the initial specification of 5G,3GPP has completed three

112、 additional releases.Release 16 introduced enhancements to 5G mobile broadbandexperiences(e.g.,more capacity,improved coverage,mobility and better device power efficiency),expanded 5G technologies into new use cases and industries(native positioning support,5G-based C-V2X,5G Broadcast)and began supp

113、orting different spectrum types by expanding 5G into unlicensed spectrum with 5GNR Unlicensed(NR-U).Release 17 became the third major release of the global 5G NR standard expanding the 5G technology foundations for coverage,power,reliability and spectrum range,which are designed to provide efficient

114、 support for lower complexity 5G devices(e.g.,reduced capacity(RedCap)devices)including wearables,industrial sensors,and new deployments,including non-terrestrial networks and mmWave private networks on unlicensed 60 GHz spectrumband.Release 18 marked the start of 5G Advanced,with projects designed

115、to strengthen the end-to-end 5G system foundation(such as advanced downlink anduplink MIMO,enhanced mobility,mobile integrated access and backhaul,smart repeater,evolved duplexing,AI and machine learning data-driven designs andgreen networks)and to proliferate 5G to virtually all devices and use cas

116、es(such as boundless XR,RedCap evolution,expanded sidelink,expanded positioning,drones and expanded satellite communication and multicast).Release 19,which is currently under development,builds on the 5G Advanced standards to delivernew 5G advancements through continued system enhancements(e.g.,sub-

117、band full-duplex(SBFD),multi-hop sidelink relays),further use case diversification(e.g.,Ambient IoT),and new advanced capabilities,including standardized wireless AI framework and potential applications,and ultra-low power receiver.Release 19 will establish the technical foundation for 6G.Computing.

118、Our processors are purpose-built to power mobile experiences,automobiles and the IoT.We have developed System-on-Chip(SoC)architecturewith heterogeneous computing features,which uses our central processing unit(CPU)and different types of specialized engines(graphics processing unit(GPU)and neural pr

119、ocessing unit(NPU)to enable high-performance and low-power computing and other optimization techniques.Our Qualcomm Oryon andQualcomm Kryo CPU processors deliver enhanced security,AI and connectivity solutions,all designed to enable the next generation of high-tech devices andapps.Qualcomm Oryon CPU

120、 core technology is custom-designed to deliver a new level of performance and efficiency and developed to be integrated across awide portfolio of Snapdragon powered products starting with certain PC and smartphone products and expanding to certain automotive and IoT products.OurQualcomm Adreno GPUs

121、are designed to deliver high quality graphics performance for visually rich 3D gaming and user interfaces.The Qualcomm AI Engine,featured in our Snapdragon platforms and many of our other products,includes dedicated hardware capable of running complexAI use cases at high-performance and low-power on

122、 device,while also enhancing privacy and security.Our Qualcomm Hexagon NPU is a key processor inour AI Engine and is designed for sustained,high-performance AI inference,enabling leading on-device AI capabilities with very low power consumption.Inaddition to our leading AI technology,we are simplify

123、ing the process for developers to build applications with AI features to work on our Snapdragon platforms.The Qualcomm AI Stack is a unified AI software portfolio designed to help developers optimize9and deploy AI models quickly using our chipset solutions by supporting AI frameworks and runtimes,de

124、veloper libraries,system software and popular operatingsystems.Building on this,the Qualcomm AI Hub is our online destination for developers to access resources for quickly deploying models on devices poweredby Snapdragon platforms,whether their own or from a growing collection of pre-optimized,read

125、y-to-use AI models.Additional Significant Technologies used in Mobile and Other Industries.We continue to play a leading role in developing(and/or have acquired)manyother technologies used across mobile and other industries,including:wireless local area networks(WLAN),such as Wi-Fi,which link two or

126、 more nearby devices wirelessly and usually provide connectivity through anaccess point;Bluetooth technology,which is a wireless personal area network that provides wireless connectivity between devices over short distances ranging from afew centimeters to approximately one hundred meters using the

127、2.4GHz industrial,scientific and medical spectrum band;position location technologies such as the Assisted-Global Positioning System(A-GPS),Assisted Global Navigation Satellite System(A-GNSS)andWLAN positioning technologies used in most cellular handsets today;multimedia technologies including video

128、,audio and speech compression technologies and system-level solutions enabling feature-rich,high-qualityexperiences in imaging,audio and vision intelligence;operating system and user interface features;XR platform features such as 6DoF(six-degrees of freedom)head tracking and controller capabilities

129、,video pass-through and embedded cellularconnectivity for new types of user experiences,and hybrid computing to distribute workloads across devices;automotive platform features such as digital cockpit and ADAS/AD,to enable in-cabin experiences and assisted driving solutions;security and content prot

130、ection systems for enhanced device security without compromising the user experience;volatile(LPDDR4,5)and non-volatile(eMMC)memory and related controllers;fast charging features,enabling devices to charge quickly,safely and efficiently;Qualcomm Smart Transmit technology,a modem-to-antenna technolog

131、y that optimizes data speeds while complying with RF transmit power limits;andpower management systems for improved battery life and device charging.AcquisitionsWe make strategic investments and acquisitions in order to open new opportunities for our technologies,support the design and introduction

132、of new productsand services(or enhance existing products or services),obtain resources with development and/or market expertise,grow our patent portfolio or pursue newbusinesses as part of our strategic plan.Operating SegmentsWe have three reportable segments.We conduct business primarily through QC

133、T and QTL,while QSI makes strategic investments.Additional informationregarding our operating segments is provided in this Annual Report in“Notes to Consolidated Financial Statements,Note 8.Segment Information.”QCT Segment.QCT is a leading developer and supplier of integrated circuits products and s

134、ystem software with advanced connectivity and high-performance,low-power computing technologies,for use in mobile devices;automotive systems for connectivity,digital cockpit and ADAS/AD;and IoTincluding consumer electronic devices,industrial devices and edge networking products.QCTs integrated circu

135、it products are sold and its system software islicensed to manufacturers that use our products in a broad range of devices,from low-tier,entry-level devices primarily for emerging regions to premium-tierdevices,including but not limited to mobile devices,wireless networks,devices used in IoT,broadba

136、nd gateway equipment,consumer electronic devices andautomotive systems.Our technology roadmap delivers the latest network technologies across multiple product tiers,devices and industries.This roadmap is theresult of extensive collaboration with manufacturers,operators,developers,systems integrators

137、,cloud providers,tool vendors,service providers,governments andindustry standards organizations,as well as our years of research into emerging network standards and the development of integrated circuits.Our roadmap takesadvantage of new standards,while maintaining backward compatibility with existi

138、ng standards.We have leveraged and expect to continue to leverage thefoundational technologies initially developed and commercialized for use in mobile handset devices,such as our core baseband modem and processortechnologies and our other wireless connectivity products including Wi-Fi,Bluetooth and

139、 precise positioning technologies,to extend into product categories,industries and applications beyond mobile handsets,such as automotive and IoT(which includes the industries and applications of consumer,industrial and edgenetworking).The Snapdragon family of highly integrated,system-based solution

140、s include the Snapdragon mobile,compute,sound and automotive platforms.Eachplatform consists of application processors and wireless connectivity capabilities,including our cellular modem that provides core baseband modem functionalityfor voice and data communications,non-cellular wireless connectivi

141、ty(such as Wi-Fi and Bluetooth)and global positioning functions.Our Snapdragonapplication processor functions include AI,security,graphics,display,audio,video,camera and other compute processing.Our Qualcomm Oryon and Kryo CPUsare designed to deliver high levels of compute performance with optimized

142、 power consumption.Our Hexagon NPUs are designed to support a variety of AIprocessing tasks for superior performance-per-watt,thermal efficiency and battery life.Our Qualcomm Adreno GPUs are designed to deliver high qualitygraphics performance for visually rich 3D gaming and user interfaces.In addit

143、ion to the highly integrated core SoC,we also design and supply supportingcomponents,10including the RF transceiver,PM(power management),audio,codecs,speaker amps and additional wireless connectivity integrated circuits.These supportingcomponents,in addition to our cellular modems and application pr

144、ocessors comprising our core SoC,are also sold as individual components.The combination ofthe Snapdragon SoC,system software and supporting components provides an overall platform with optimized performance and efficiency,enablingmanufacturers to design and deliver powerful,slim and power-efficient

145、devices ready for integration with complex cellular networks worldwide.Our portfolio of RF products includes Qualcomm RFFE components that are designed to simplify the RF front-end design for 5G,including sub-6 GHz andmmWave,as well as,for 4G LTE multimode devices,to reduce power consumption and to

146、improve radio performance.We provide comprehensive RFFE productofferings with system level performance from the modem and transceiver to the antenna that include complex 4G/5G transmit and receive modules,powertracking,tuning systems,multimode-multiband power amplification,low noise amplifiers and m

147、mWave antenna solutions,in addition to discrete filteringproducts,for devices and applications across the mobile handsets,automotive and IoT industries.We have also integrated our Snapdragon platform with our RFFEcomponents to create our Snapdragon 5G modem-RF products,a modem-to-antenna platform in

148、tegrating AI to maximize data speeds and performance,supportsuperior call connectivity and coverage and extend battery life.Our wireless connectivity products also consist of integrated circuits and system software for Wi-Fi,Bluetooth and frequency modulation,as well astechnologies that support loca

149、tion data and services.Our wireless connectivity products provide additional connectivity for mobile devices,tablets,PCs,XRheadsets,voice and music devices,wearable devices,along with other IoT devices and applications,automotive connectivity,digital cockpit and ADAS/AD,utility meters and logistic t

150、rackers and industrial sensors.QCT also offers standalone Wi-Fi,Bluetooth,applications processor and Ethernet products utilizedwithin these devices and systems.Our networking products include Wi-Fi,Ethernet and passive optical network(PON)chips,network processors,wireless accesspoints and routers,br

151、oadband gateway equipment and software.These products help enable home and business networks to support the growing number ofconnected devices,digital media and data services.Other than for certain of our RFFE modules and RF filter products,QCT utilizes a fabless production model,which means that we

152、 do not own or operatefoundries for the production of silicon wafers from which our integrated circuits are made.Therefore,we primarily rely on third parties to perform themanufacturing and assembly,and most of the testing,of our integrated circuits based primarily on our proprietary designs and tes

153、t programs.Our suppliers alsoare responsible for the procurement of most of the raw materials used in the production of our integrated circuits.Integrated circuits are die cut from silicon wafersthat have completed the package assembly and test manufacturing processes.The semiconductor package suppo

154、rts the electrical contacts that connect theintegrated circuit to a circuit board.Die cut from silicon wafers are the essential components of all our integrated circuits and a significant portion of the totalintegrated circuit cost.We employ both turnkey and two-stage manufacturing models to purchas

155、e our integrated circuits.Under the turnkey model,our foundrysuppliers are responsible for delivering fully assembled and tested integrated circuits.Under the two-stage manufacturing model,we purchase die in singular orwafer form from semiconductor manufacturing foundries and contract with separate

156、third parties for manufacturing services such as wafer bump,probe,assemblyand the majority of our final test requirements.The primary foundry suppliers for our various digital,analog/mixed-signal,RF and PM integrated circuits includeTaiwan Semiconductor Manufacturing Company(TSMC),Global Foundries,S

157、amsung Electronics and Semiconductor Manufacturing International Corporation(SMIC).Our primary semiconductor assembly and test suppliers are Advanced Semiconductor Engineering,Amkor Technology,Siliconware Precision Industriesand STATSChipPAC.The majority of our foundry and semiconductor assembly and

158、 test suppliers are located in the Asia-Pacific region.QCT primarily uses internal fabrication facilities to manufacture certain RFFE modules and RF filter products,and our manufacturing operations consist offront-end and back-end processes.The front-end processes primarily take place at manufacturi

159、ng facilities located in Germany and Singapore and involve theimprinting of substrate wafers with the structure and circuitry required for the products to function(also known as wafer fabrication).The back-end processesinclude the assembly,packaging and test of RFFE modules and RF filter products an

160、d their preparation for distribution.Our back-end manufacturing facilities arelocated in China and Singapore.QCTs marketing strategy aims to promote Qualcomm as the leader of enabling intelligent computing everywhere,and Snapdragon as the preferred platformbrand powering premium experiences across h

161、andsets,automotive and IoT.Through direct marketing efforts,partnerships and collaborations(including marketingprograms with customers),products powered by Snapdragon and Qualcomm technologies are marketed to expand the reach of both brands to drive awareness andpreference.QCTs sales are primarily m

162、ade through supply terms which implement a purchase order and order confirmation process for delivery of products.QCTgenerally allows customers to reschedule delivery dates within a defined time frame and to cancel orders prior to shipment with or without payment of acancellation fee,depending on wh

163、en the order is canceled.The industries in which QCT operates are intensely competitive.QCT competes worldwide with anumber of U.S.and international designers and manufacturers of semiconductors.As a result of global expansion by foreign and domestic competitors,technological changes,device manufact

164、urer concentrations,limited global supply capacity,vertical integration and the potential for further industry consolidation,we anticipate the industry to remain very competitive.We believe that the principal competitive factors for our products include performance,level of integration,quality,compl

165、iance with industry standards,price,time-to-market,system cost,design and engineering capabilities,new product innovation,growth and11scaling of distribution channels,desire by certain customers to use multiple suppliers and customer support.QCT also competes in both single-mode andmultimode environ

166、ments against alternative communications technologies.Additional competitive factors exist for QCT product offerings that have expanded intoindustries and applications beyond mobile handsets,including automotive and IoT.The automotive industry is subject to long design-in time frames,long productlif

167、e cycles and a high degree of regulatory and safety requirements,necessitating suppliers to the industry to comply with stringent qualification processes,verylow defect rates and high reliability standards,all of which results in a significant barrier to entry and may result in increased costs.QCTs

168、current competitors include,but are not limited to,companies such as Broadcom,HiSilicon,MediaTek,Mobileye,Nvidia,NXP Semiconductors,Qorvo,Samsung,Skyworks,Texas Instruments and UNISOC.QCT also faces competition,which may intensify in the future,from products internally developedby our customers,incl

169、uding some of our largest customers,such as Apple and Samsung,to early-stage companies.Our competitors devote significant amounts oftheir financial,technical and other resources to develop and market competitive products and,in some cases,to develop and adopt competitive digitalcommunication or sign

170、al processing technologies,and those efforts may materially and adversely affect us.Although we have attained a significant position in thesemiconductor industry,many of our current and potential competitors may have advantages over us.These and other risks related to competition are more fullydescr

171、ibed in the Risk Factors entitled“Our industry is subject to intense competition in an environment of rapid technological change.Our success depends inpart on our ability to adapt to such change and compete effectively;and such change and competition could result in decreased demand for our products

172、 andtechnologies or declining average selling prices for our products or those of our customers or licensees”and“Our business,particularly our semiconductorbusiness,may suffer as a result of our customers vertically integrating(i.e.,developing their own integrated circuit products).”QTL Segment.QTL

173、grants licenses or otherwise provides rights to use portions of our intellectual property portfolio,which,among other rights,includescertain patent rights essential to and/or useful in the manufacture,sale and/or use of certain wireless products,including,without limitation,productsimplementing WCDM

174、A(Wideband CDMA),LTE and/or OFDMA-based 5G standards and their derivatives.We grant licenses or otherwise provide rights to useour cellular standard-essential patents(including 3G,4G and 5G)for both single-mode and multimode devices on a worldwide basis.We also offer licenses to ourcellular standard

175、-essential patents together with other Qualcomm patents that may be useful to such licensed products for licensees that desire to obtain thecommercial benefits of receiving such broad patent rights from us.While we offer license rights to patents that we do not have a duty or obligation to grant,tho

176、serights may be negotiated at our discretion.A significant portion of QTLs licensing revenues is derived from licensees that have entered into license agreementsthat grant licenses under Qualcomms cellular standard-essential patents.Our licensees manufacture wireless cellular products such as mobile

177、 devices(includinghandsets),other consumer devices(e.g.,tablets and PCs),plug-in end user data modem cards and embedded modules for incorporation into machine-to-machinedevices and certain other devices,connected vehicle units and connected vehicle modules used in automobiles,wireless access points

178、and small cell wirelessproducts.Since our founding in 1985,we have focused heavily on technology development and innovation.These efforts have resulted in a leading intellectual propertyportfolio related to foundational,system level technologies for the wireless industry.We have an extensive portfol

179、io of United States and foreign patents,and wecontinue to pursue patent applications around the world.Our patents have broad coverage in many countries,including Brazil,China,India,Japan,South Korea,Taiwan,the United States and countries in Europe(including European patents with unitary effect).A su

180、bstantial portion of our patents and patent applicationsrelate to digital wireless communications technologies,including patents that are essential or may be important to the commercial implementation of CDMA2000,WCDMA(UMTS),LTE and/or OFDMA-based 5G products.Our patent portfolio is the most widely

181、and extensively licensed in the industry,including more than200 5G license agreements to date.Additionally,we have a substantial patent portfolio related to key technologies used in communications and other devicesand/or related services,some of which are covered by industry standards.These include

182、certain video codecs,audio codecs,Wi-Fi,memory interfaces,wirelineinterfaces,wireless power,position location,broadcast and streaming protocols,and short-range communication functionalities,including Bluetooth.Our patentscover a wide range of technologies across connectivity(including wireless devic

183、es and network infrastructure equipment),computing and AI applications indiverse end-markets,not just the portion of such patented technologies incorporated into chipsets.Over the years,a number of companies have challenged ourpatent position,but the mobile communications industry generally recogniz

184、es that any company seeking to develop,manufacture and/or sell certain wirelessproducts that use 3G,4G and/or 5G technologies requires a license or other rights to use our patents.We have licensed or otherwise provided rights to use our patents to hundreds of companies on industry-accepted terms.Our

185、 strategy to make our patentedtechnologies broadly available has been a catalyst for industry growth,helping to enable a wide range of companies offering a broad array of wireless productsand features while increasing the capabilities of and/or driving down average and low-end selling prices for han

186、dsets and other wireless devices.By licensing orotherwise providing rights to use our patents to a wide range of equipment manufacturers,encouraging innovative applications,supporting equipmentmanufacturers with integrated chipset and software products and focusing on improving the efficiency of the

187、 airlink for wireless operators,we have helpedmultimode device capabilities evolve,grow demand and reduce device pricing.5G network deployments and commercial 3G/4G/5G multimode device salesbegan in 2019 and have continued.By licensing or otherwise providing rights to use our patents to a wide range

188、 of equipment manufacturers,we are supportingthe global rollout and availability of 5G technology.We believe that 5G will continue to encourage innovative applications through12enhanced mobile broadband services with lower latency and multi-gigabit user data speeds and bring more capacity and effici

189、ency to wireless networks.Upon the initial deployment of OFDMA-based networks,the products implementing such technologies generally have been multimode and implementOFDMA-based and CDMA-based technologies.The licenses granted under our existing license agreements generally cover multimode CDMA/OFDMA

190、(3G/4G/5G)devices,and our licensees are obligated to pay royalties under their license agreements for their sales of such devices.Standards bodies have been informed that we hold patents that might be essential for all 3G standards that are based on CDMA,patents that are potentiallyessential for 4G

191、technologies and patents and pending patent applications that are potentially essential for 5G technologies.We have committed to such standardsbodies that we will offer to license our essential patents for these standards consistent with our commitments to those bodies.We have made similar commitmen

192、tswith respect to certain other technologies implemented in industry standards.QTL licensing revenues include per-unit royalties and,to a lesser extent,lump sum payments(i.e.,license fees,substantially all of which were recognizedprior to fiscal 2024).Licensees pay quarterly royalties based on their

193、 sales of products incorporating or using our licensed intellectual property.Per-unit royaltiesare generally based upon a percentage of the wholesale(i.e.,licensees)selling price of complete licensed products,net of certain permissible deductions(including transportation,insurance,packing costs and

194、other items),with certain products subject to per unit minimums and/or per unit caps.Certain products mayalso have a fixed royalty amount per unit.The vast majority of QTL revenues have been generated through our licensees sales of OFDMA-based products(including 3G/4G and 3G/4G/5G multimodedevices),

195、such as smartphones and other devices.We have invested in both the acquisition and development of,and continue to invest in the development of,OFDMA technology and intellectual property and have generated the industry leading patent portfolio applicable to LTE,LTE Advanced,LTE Advanced Pro and5G NR.

196、Some of our inventions that serve as foundational technologies for 3G and 4G also serve as foundational technologies for 5G.We have invested andcontinue to invest in the development of 5G and continue to play a significant role in driving advancements of 5G.Nevertheless,we face competition in thedev

197、elopment of intellectual property for future generations of digital wireless communications technologies and services.Our license agreements also may provide us with rights to use certain of our licensees technology and intellectual property to manufacture,sell and/or usecertain components(e.g.,appl

198、ication-specific integrated circuits)and related software,cellular devices and/or infrastructure equipment.We have been in the past,currently are,and may in the future be subject to certain legal proceedings and/or governmental investigations challenging ourpatent licensing practices,including certa

199、in matters described in this Annual Report under the heading“Notes to Consolidated Financial Statements,Note 7.Commitments and Contingencies.”Such governmental investigations and/or legal proceedings could require us to change our patent licensing practices,asdescribed herein in“Part I,Item 1A.Risk

200、Factors”under the heading“Changes in our patent licensing practices,whether due to governmental investigations,legal challenges or otherwise,could adversely impact our business and results of operations.”QSI Segment.QSI makes strategic investments primarily through our Qualcomm Ventures arm that are

201、 focused on expanding or opening new opportunitiesfor our technologies as well as supporting the design and introduction of new products and services(or enhancing existing products or services).Many of thesestrategic investments are in early-stage companies in a variety of industries and application

202、s,including but not limited to 5G,AI,automotive,consumer,enterprise,cloud,IoT and XR.Investments primarily include non-marketable equity securities and,to a lesser extent,marketable equity securities and convertibledebt instruments.In addition,QSI segment results include revenues and related costs a

203、ssociated with certain development contracts with one of our investees.Aspart of our strategic investment activities,we generally intend to pursue various exit strategies for each of our QSI investments in the foreseeable future.Other Businesses.Nonreportable segments include our QGOV business and o

204、ur cloud computing processing initiative.QGOV provides development andother services and sells related products to U.S.government agencies and their contractors.Seasonality.Information regarding seasonality is provided in this Annual Report in“Part II,Item 7.Managements Discussion and Analysis of Fi

205、nancialCondition and Results of Operations”in the“Our Business and Operating Segments”section under the heading“Seasonality.”Corporate StructureWe operate our businesses through our parent company,QUALCOMM Incorporated,and multiple direct and indirect subsidiaries.We have developed ourcorporate stru

206、cture in order to address various legal,regulatory,tax,contractual compliance,operational and other matters.Substantially all of our products andservices businesses,including QCT,and substantially all of our engineering and research and development functions,are operated by Qualcomm Technologies,Inc

207、.(QTI),a subsidiary of QUALCOMM Incorporated,and QTIs subsidiaries.QTL is operated by QUALCOMM Incorporated,which owns the vast majority ofour patent portfolio.Snapdragon and Qualcomm branded products are products of QTI and/or its subsidiaries.Qualcomm patents are licensed by QUALCOMMIncorporated.N

208、either QTI nor any of its subsidiaries has any right,power or authority to grant any licenses or other rights under or to any patents owned byQUALCOMM Incorporated.13Revenue Concentrations and Significant CustomersA small number of customers/licensees historically have accounted for a significant po

209、rtion of our consolidated revenues.In fiscal 2024,revenues fromApple,Samsung and Xiaomi each comprised 10%or more of our consolidated revenues.Additional information regarding revenue concentrations is provided inthis Annual Report in“Notes to Consolidated Financial Statements,Note 2.Composition of

210、Certain Financial Statement Items”and“Notes to ConsolidatedFinancial Statements,Note 8.Segment Information.”Research and DevelopmentWe compete in industries that are characterized by rapid technological change,evolving industry standards and frequent new product introductions,requiringa continuous e

211、ffort to enhance existing products and technologies and to develop new products and technologies.We have significant engineering resources,including engineers with substantial expertise in modem,radio-frequency integrated circuit,RFFE,multimedia(camera,video,display and computer vision),sensor perce

212、ption and drive policy,advanced SoC(which includes specialized engines such as CPU,GPU and NPU to enable high-performance and low-powercomputing and other optimization techniques),AI,packaging and a broad range of other technologies.We expect to continue to invest in research anddevelopment in a var

213、iety of ways in an effort to extend the demand for our products and technologies and to utilize that research and development in industriesand applications beyond mobile handsets(such as automotive and IoT),including continuing the development of new modem and multimedia technologies andother techno

214、logies(such as ADAS/AD and XR),developing alternative technologies for certain specialized applications,participating in the formulation of newvoice and data communication standards and technologies and assisting in deploying digital voice and data communications networks around the world.We arefocu

215、sed on making it easier for developers to design and deploy their applications on our platforms across multiple device categories and industries as a part of ourdiversification strategy.We conduct broad,leading research and development across AI,including generative AI,from fundamental research to p

216、latform and applied research,withthe goal of advancing AI core capabilities to run on-device,and scaling them across industries and use cases.With investments made in AI for over a decade,ourresearch is diverse,and we are focused on power efficiency and personalization to make AI seamless across our

217、 everyday experiences.We also engage in acquisitions and other transactions to meet certain technology needs,to obtain development resources or open or expand opportunities forour technologies and to support the design and introduction of new products and services(or enhance existing products and se

218、rvices).We make investments toprovide our integrated circuit customers with chipsets designed on leading-edge technology nodes that combine multiple technologies for use in mobile devices;automotive systems for connectivity,digital cockpit and ADAS/AD;and IoT including consumer electronic devices,in

219、dustrial devices and edge networkingproducts.We support Android,Windows,Linux and other client software environments in our chipsets.We develop innovations that are integrated into our product portfolio to expand the opportunity for wireless communications and enhance the value of ourproducts and se

220、rvices.These innovations are expected to enable our customers to improve the performance or value of their existing services,offer these servicesmore affordably and introduce revenue-generating broadband data services ahead of their competition.We have research and development centers in various loc

221、ations throughout the world that support our global development activities.We continue to use oursubstantial engineering resources and expertise to develop new technologies,applications and services and make them available to licensees to help grow thewireless communications industry and generate ne

222、w or expanded licensing opportunities.Environmental,Social and Governance(ESG)and Human CapitalWe believe that our innovations help transform industries,enhance peoples lives and address some of societys biggest challenges.With the world becomingincreasingly connected,we have an opportunity to shape

223、 a better future.We believe in the power of technology.As such,our corporate responsibility vision is tobe a facilitator of innovation for a sustainable world,connected wirelessly.We have integrated corporate responsibility throughout our business,from our daily operations to our executive leadershi

224、p and our Board of Directors(Board).The Governance Committee of our Board provides oversight on ESG matters not delegated to other Board committees,including ESG policies,programsand initiatives.The HR and Compensation Committee of our Board provides oversight on our human capital initiatives and ou

225、r workforce diversity,equity andinclusion policies,programs and initiatives,while the Audit Committee of our Board provides oversight of certain ESG disclosure controls and procedures.OurESG Leadership Committee,composed of executives,provides guidance on global corporate responsibility issues.Our E

226、SG Working Group implementsdirectives from the ESG Leadership Committee,measures progress on achieving our goals and reports to management on accomplishments and challenges.ESGWe center our ESG efforts around purposeful innovation,focusing on three strategic areas where we believe we can have the bi

227、ggest impact:Empowering Digital Transformation.We believe technology can transform industries,businesses,communities and individual lives.We invent solutionsthat are foundational to the advancement of the global wireless ecosystem14and the digital transformation of industries such as automotive,pers

228、onal computing and industrial IoT,improving how we work,live and,ultimately,thrive.Acting Responsibly.We invest in our people,strive to always behave with integrity and implement governance standards that uphold Qualcomms values.We are committed to responsible business practices,from enhancing our i

229、nclusive and diverse culture,to protecting privacy,to providing leadingdevelopment programs and fostering an ethical culture.Operating Sustainably.We aim to maintain safe,healthy and productive working conditions and conserve natural resources.Our environmental effortscenter on reducing greenhouse g

230、as(GHG)emissions,optimizing energy consumption,managing water usage and minimizing waste throughout ouroperations and the communities in which we work.2025 Goals.Our 2025 Goals related to corporate responsibility include,among others:Reducing our absolute Scope 1 and Scope 2 GHG emissions from globa

231、l operations by 30%,from a 2014 base year.Reducing power consumption by 10%every year in our flagship Snapdragon Mobile Platform products(given equivalent features).Having 100%of our primary semiconductor manufacturing suppliers audited every two years for conformance to our Supplier Code of Conduct

232、,from a2020 base year.Net-Zero Global GHG Emissions Targets.Qualcomm has established near-and long-term science-based emissions reduction targets,which have beenapproved by the Science Based Targets initiative(SBTi),including:(1)reduce absolute Scope 1 and 2 GHG emissions by 50%by 2030 from a 2020 b

233、ase year;(2)reduce absolute Scope 3 GHG emissions by 25%by 2030 from a 2020 base year;and(3)reach net-zero GHG emissions across the value chain by 2040.The foregoing discussion includes information regarding ESG matters that we believe may be of interest to our stockholders generally.We recognize th

234、atcertain other stakeholders(such as customers,employees and non-governmental organizations),as well as certain of our stockholders,may be interested in moredetailed information on these topics.We encourage you to review our most recent Qualcomm Corporate Responsibility Report(located on our website

235、)for moredetailed information regarding our Corporate Responsibility and ESG governance,goals,priorities,accomplishments and initiatives,as well as the CorporateGovernance section of our most recent Proxy Statement,and our Corporate Governance Principles and Practices(located on our website),for add

236、itionalinformation regarding governance matters,including Board and Committee leadership,oversight,roles and responsibilities,and Director independence,tenure,refreshment and diversity.Nothing on our website,including the aforementioned reports and documents,or sections thereof,shall be deemed incor

237、porated byreference into this Annual Report.Human CapitalIn order to continue to produce innovative,breakthrough technologies,it is crucial that we continue to attract and retain top talent.To facilitate talentattraction and retention,we strive to make Qualcomm a diverse,inclusive,and safe workplace

238、,with opportunities for our employees to grow and develop in theircareers,supported by strong compensation,benefits,and health and wellness programs and by programs that build connections between our employees and theircommunities.At September 29,2024,we had approximately 49,000 full-time,part-time

239、and temporary workers,the overwhelming majority of which were full-timeemployees.Our employees are represented by more than 100(self-identified)nationalities working in over 150 locations in 37 different countries around theworld.Collectively,we speak more than 90 different languages.Our global work

240、force is highly educated,with the substantial majority of our employees workingin engineering or technical roles.During fiscal 2024,our voluntary turnover rate was approximately 5%.Diversity,Equity and Inclusion.We believe that a diverse workforce is important to our success,and we continue to focus

241、 on making Qualcomm a greatplace to work for everyone,including women and underrepresented populations.Our recent efforts have been focused in three areas:inspiring innovation throughan inclusive and diverse culture;expanding our efforts to recruit world-class diverse talent;and identifying strategi

242、c partners to accelerate our programs.We have employee networks that enhance our inclusive and diverse culture,including global network groups focused on supporting women,LGBTQ+employees and employees with disabilities,in addition to U.S.-based employee networks that focus on Asian American and Paci

243、fic Islander employees,Black andAfrican American employees,Hispanic and Latinx employees and U.S.military members and veterans.We continue to recruit technical talent in diverse communities,engaging as a high-level sponsor of professional conferences,such as the Grace HopperConference for women and

244、non-binary technologists,the Society of Hispanic Professional Engineers National Convention and the Richard Tapia Conference.Wealso continue to recruit from a variety of colleges with diverse student populations,including Hispanic-Serving Institutions and Historically Black Colleges andUniversities.

245、Our continued engagement with organizations that work with diverse communities has been vital to our efforts.We joined the Global Catalyst Communitythat helps organizations build workplaces that work for women with thought leadership and actionable solutions to advance women into leadership.We are a

246、lsoendorsed as a great employer for women15by Work180 in the UK and have been recognized by Avtar and Seramount as a Best Company for Women in India.We,alongside other top technology companies,helped form the Reboot Representation Tech Coalition,which aims to double the number of Black,Latinx and Na

247、tive American women receiving computingdegrees by 2025.We have also been named a Best Place to Work for Disability Inclusion by Disability:IN for ten years in a row,underscoring our commitmentto an inclusive work environment for people with disabilities.We publish our most recent Consolidated EEO-1

248、reports on our website to provide additional transparency into our workforce.Health,Safety and Wellness.The success of our business is fundamentally connected to the well-being of our people.Accordingly,we are committed to thehealth,safety and wellness of our employees.Through our Live+Well,Work+Wel

249、l programs,we provide our employees and their families with access to a varietyof innovative,flexible and convenient health and wellness programs,including benefits that provide protection and security related to events that may require timeaway from work or that impact their financial well-being;th

250、at support their physical and mental health by providing tools and resources to help them improve ormaintain their health status and encourage engagement in healthy behaviors;and that offer choice where possible so they can customize their benefits to meet theirneeds and the needs of their families.

251、Compensation and Benefits.We provide robust compensation and benefits programs to help meet the needs of our employees.In addition to salaries,theseprograms may include(depending on country/region)annual bonuses,stock awards,an employee stock purchase plan,retirement and savings plans,healthcareand

252、insurance benefits,health savings and flexible spending accounts,paid time off,family leave,family care resources,flexible work schedules,adoption andsurrogacy assistance,employee assistance programs,tuition assistance,and on-site services such as health and fitness centers,among others.In addition

253、to ourbroad-based equity award programs,we have used targeted equity awards with vesting conditions to facilitate retention of personnel,particularly those withcritical engineering skills and experience.Talent Development.We invest significant resources to develop the talent needed to remain a world

254、-leading innovator in wireless technologies and high-performance and low-power computing,including AI.We deliver numerous training opportunities,provide rotational assignment opportunities,focus oncontinuous learning and development and have implemented what we believe are industry-leading methodolo

255、gies to manage performance,provide feedback anddevelop talent.Our talent development programs are designed to provide employees with the resources they need to help achieve their career goals,build management skillsand lead their organizations.We provide a series of employee workshops around the glo

256、be that support professional growth and development.Additionally,ourmanager and employee forum programs provide an ongoing opportunity for employees to practice and apply learning around conversations aligned with ourannual review process.We also have an employee development website that provides qu

257、ick access to learning resources that are personalized to the individualsdevelopment needs.Building Connections-With Each Other and our Communities.We believe that building connections between our employees,their families and ourcommunities creates a more meaningful,fulfilling and enjoyable workplac

258、e.Through our engagement programs,our employees can pursue their interests andhobbies,connect to volunteering and giving opportunities and enjoy unique recreational experiences with family members.Leveraging our partnerships withvarious local arts and culture organizations,we have created numerous u

259、nique experiences for employees and their families around the world.Since our employees are passionate about many causes,our corporate giving and volunteering programs support and encourage employees by engaging withthose causes.In our offices around the world,our employee-led Giving Committees sele

260、ct local organizations to support,often in the form of grants that areprimarily funded by the Qualcomm Foundation(which was established in 2011 to support charitable giving and volunteerism).We also frequently collaborate withthese organizations on volunteer activities for our employees.Additionally

261、,during fiscal 2024,thousands of our employees around the world utilized ourcharitable match program,benefiting more than 1,300 charitable organizations.Human Capital Advancements Linked to our Executive Compensation.The HR and Compensation Committee of our Board will consider human capitaladvanceme

262、nts in determining our executives fiscal 2024 bonus.For fiscal 2024,progress towards human capital advancements serves as a non-financialperformance modifier that can adjust the executives bonus payout by a multiple of 0.9 to 1.1.The foregoing discussion includes information regarding Human Capital

263、matters that we believe may be of interest to stockholders generally.We recognizethat certain other stakeholders(such as customers,employees and non-governmental organizations),as well as certain of our stockholders,may be interested inmore detailed information on these topics.We encourage you to re

264、view the“Workforce”section of our most recent Qualcomm Corporate Responsibility Report(located on our website)for more detailed information regarding our Human Capital programs and initiatives.Nothing on our website,including our ConsolidatedEEO-1 reports and our Qualcomm Corporate Responsibility Re

265、port or sections thereof,shall be deemed incorporated by reference into this Annual Report.16Available InformationOur Internet address is .There we make available,free of charge,our annual reports on Form 10-K,quarterly reports on Form 10-Q,current reports on Form 8-K,proxy statements and any amendm

266、ents to those reports(among others),as soon as reasonably practicable after we electronically filesuch material with,or furnish it to,the Securities and Exchange Commission(SEC).We also make available on our website public financial information for whicha report is not required to be filed with or f

267、urnished to the SEC.Our SEC reports and such other information can be accessed through the Investor Relationssection of our website(https:/ Investor Relations website contains a significant amount of information about us,including financialand other information for investors,and it is possible that

268、this information could be deemed to be material information.Accordingly,investors and othersinterested in Qualcomm should review the information posted on our website in addition to following our press releases,SEC filings and public conference callsand webcasts.The information found on our website

269、is not part of this or any other report we file with or furnish to the SEC.Information about our Executive OfficersInformation about our executive officers(and their ages as of November 1,2024)are as follows:Cristiano R.Amon,age 54,has served as President and Chief Executive Officer and as a member

270、of the Board of Directors since June 2021.Mr.Amon servedas President and Chief Executive Officer-elect from January 2021 to June 2021 and President from January 2018 to January 2021.He served as Executive VicePresident,Qualcomm Technologies,Inc.(QTI),a subsidiary of Qualcomm Incorporated,and Preside

271、nt,QCT,from November 2015 to January 2018.He served asExecutive Vice President,QTI and Co-President,QCT from October 2012 to November 2015,Senior Vice President and Co-President,QCT from June 2012 toOctober 2012 and as Senior Vice President,QCT Product Management from October 2007 to June 2012,with

272、responsibility for our product roadmap,includingthe Snapdragon platforms.Mr.Amon joined Qualcomm in 1995 as an engineer and throughout his tenure at Qualcomm has held several other technical andleadership positions.Mr.Amon has been a member of the board of directors of Adobe Inc.since October 2023.M

273、r.Amon holds a B.S.in Electrical Engineeringand an honorary doctorate from UNICAMP,the State University of Campinas,Brazil.Heather Ace,age 54,has served as Chief Human Resources Officer since March 2020.Prior to joining Qualcomm,Ms.Ace was Senior Vice President,Human Resources at DexCom,Inc.,a provi

274、der of continuous glucose monitoring,from July 2016 to March 2020.Prior to DexCom,she was Executive VicePresident,Human Resources at Orexigen Therapeutics,Inc.,a developer of treatments for obesity,from January 2016 to July 2016.Ms.Ace was IntegrationLeader for Royal Philips,leading the cross-functi

275、onal integration of Philips Healthcares acquisition of Volcano Corporation,from January 2015 to January 2016.She was Executive Vice President,Human Resources at Volcano Corporation from May 2012 to January 2015.Prior to May 2012,Ms.Ace served in varioussenior executive roles in human resources,post-

276、acquisition/merger integration and employment law at Life Technologies Corporation.She began her career atGray,Cary,Ware&Freidenrich(now DLA Piper)as a litigation and transactional employment attorney,specializing in mergers and acquisitions.Ms.Ace holds aB.A.in Law&Society from the University of Ca

277、lifornia,Santa Barbara and a J.D.from Santa Clara School of Law.Ann Chaplin,age 51,has served as General Counsel and Corporate Secretary since November 2021.Prior to joining Qualcomm,Ms.Chaplin served atGeneral Motors Company as Corporate Secretary and Deputy General Counsel,U.S.,Transformation Init

278、iatives and Corporate Securities from February 2021 toNovember 2021,Deputy General Counsel and Chief Compliance Officer,North America,Transformation Projects and Compliance from April 2019 to February2021,Deputy General Counsel,Commercial,Transportation as a Service,Litigation and Regulation from Ja

279、nuary 2018 to April 2019,Deputy General Counsel,Intellectual Property,Regulation and Litigation from June 2017 to January 2018 and Deputy General Counsel,Litigation from December 2015 to June 2017.Priorto General Motors,Ms.Chaplin was an attorney at Fish&Richardson P.C.from February 2001 to December

280、 2015,last holding the position of Litigation PracticeGroup Leader/Litigation Equity Principal.She began her career as an intellectual property litigation attorney at the law firm of Robins,Kaplan,Miller&CiresiLLP.Ms.Chaplin holds a B.A in Sociology of Law from the University of Minnesota and a J.D.

281、from Harvard Law School.Akash Palkhiwala,age 49,has served as Chief Financial Officer since November 2019 and as Chief Operating Officer since January 2024.Mr.Palkhiwalaserved as Senior Vice President and Interim Chief Financial Officer from August 2019 to November 2019.He served as Senior Vice Pres

282、ident,QCT Finance,QTIfrom December 2015 to August 2019 and Senior Vice President and Treasurer from October 2014 to December 2015.Mr.Palkhiwala served in various otherfinance and leadership roles since joining Qualcomm in March 2001.Prior to joining Qualcomm,he was an Analyst at KeyBank.Mr.Palkhiwal

283、a holds anundergraduate degree in Mechanical Engineering from L.D.College of Engineering in India and an M.B.A from the University of Maryland.Alexander H.Rogers,age 67,has served as President,QTL and Global Affairs since June 2021.Mr.Rogers served as President,QTL from October 2016 toJune 2021,Seni

284、or Vice President and President,QTL from September 2016 to October 2016,Senior Vice President,Deputy General Counsel and GeneralManager,QTL from March 2016 to September 2016,Senior Vice President and Deputy General Counsel from October 2015 to March 2016 and Senior VicePresident and Legal Counsel fr

285、om April 2007 to October 2015.Prior to QTL,he led Qualcomms litigation group.Mr.Rogers joined Qualcomm in January 2001as an attorney.Prior to joining Qualcomm,he was a partner at the law firm of Gray,Cary,Ware&Freidenrich(now DLA Piper),specializing in intellectualproperty and commercial litigation.

286、Mr.Rogers holds a B.A.and an M.A.in English Literature from Georgetown University and a J.D.from GeorgetownUniversity Law Center.17James H.Thompson,age 60,has served as Chief Technology Officer,QTI since March 2017.Dr.Thompson served as Executive Vice President,Engineering,QTI from October 2012 to M

287、arch 2017 and Senior Vice President,Engineering from July 1998 to October 2012.He joined Qualcomm in 1992 as a seniorengineer and throughout his tenure at Qualcomm has held several other technical and leadership positions.Dr.Thompson holds a B.S.,an M.S.and a Ph.D.inElectrical Engineering from the U

288、niversity of Wisconsin.Item 1A.Risk FactorsYou should consider each of the following factors in evaluating our business and our prospects,any of which could negatively impact our business,results ofoperations,cash flows and financial condition,and require significant management time and attention.Fu

289、rther,the risks and uncertainties described below are notthe only ones we face.Additional risks and uncertainties not presently known to us or that we currently consider immaterial may also negatively impact ourbusiness,results of operations,cash flows and financial condition,and require significant

290、 management time and attention.In such cases,the trading price of ourcommon stock could decline.You should also consider the other information set forth in this Annual Report in evaluating our business and our prospects,including but not limited to our financial statements and the related notes,and“

291、Part II,Item 7.Managements Discussion and Analysis of Financial Condition andResults of Operations.”References to“and,”“or”and“and/or”should be read to include the others,as appropriate.RISKS RELATED TO OUR OPERATING BUSINESSESWe derive a significant portion of our revenues from a small number of cu

292、stomers and licensees,and particularly from their sale of premium tier handsetdevices.If revenues derived from these customers or licensees decrease or the timing of such revenues fluctuates,our business and results of operations couldbe negatively affected.We derive a significant portion of our rev

293、enues from a small number of customers and licensees,and particularly from their sale of premium tier handsetdevices,and we expect this trend to continue in the foreseeable future.The mobile industry is experiencing and may continue to experience concentration ofdevice share among a few companies,pa

294、rticularly at the premium tier,contributing to this trend.Certain Chinese original equipment manufacturers(OEMs)haveincreased and may continue to increase their device share in China and in certain regions outside of China,and we derive a significant portion of our revenuesfrom a small number of the

295、se OEMs as well.See also“Notes to Consolidated Financial Statements,Note 2.Composition of Certain Financial Statement Items-Concentrations.”In addition,a number of our largest customers have developed,are developing or may develop their own integrated circuit products,or may choose ourcompetitors in

296、tegrated circuit products,which they have in the past utilized,currently utilize and may in the future utilize in some or all of their devices,ratherthan our products,which could significantly reduce the revenues we derive from these customers.See also the Risk Factor titled“Our business,particularl

297、y oursemiconductor business,may suffer as a result of our customers vertically integrating(i.e.,developing their own integrated circuit products).”Further,political actions,including trade and/or national security protection policies,or other actions by governments,particularly the U.S.and Chinesego

298、vernments,have in the past,currently are and could in the future limit or prevent us from transacting business with certain of our customers,limit,prevent ordiscourage those customers from transacting business with us,or make it more expensive to do so,any of which could also significantly reduce th

299、e revenues wederive from these customers.See also the Risk Factor titled“A significant portion of our business is concentrated in China,and the risks of such concentration areexacerbated by U.S./China trade and national security tensions.”In addition,we spend a significant amount of engineering and

300、development time,funds and resources in understanding our key customers feedback and/orspecifications and attempt to incorporate such input into our product launches and technologies.These efforts may not require or result in purchase commitmentsfrom such customers or we may have lower purchases fro

301、m such customers than expected,and consequently,we may not achieve the anticipated revenues fromthese efforts,or these efforts may result in non-recoverable costs.The loss of any one of our significant customers,a reduction in the purchases of our products by any of these customers or the cancellati

302、on of significantpurchases by any of these customers,whether due to the use of their own integrated circuit products or our competitors integrated circuit products,governmentrestrictions,a decline in global,regional or local economic conditions,a decline in consumer demand(or a shift in consumer dem

303、and away from new devices infavor of refurbished or secondhand devices),elevated inventory levels at our customers or otherwise,would reduce our revenues and could harm our ability toachieve or sustain expected results of operations.A delay of significant purchases,even if only temporary,would reduc

304、e our revenues in the period of the delay.Any such reduction in revenues would also impact our cash resources available for other purposes,such as research and development.Further,the concentration of device share among a few companies,and the corresponding purchasing power of these companies,may re

305、sult in lower pricesfor our products,which could have an adverse effect on our revenues and margins.In addition,the timing and size of purchases by our significant customers maybe impacted by the timing of such customers new or next generation product introductions,over which we have no control,and

306、the timing and success of suchintroductions may cause our revenues and results of operations to fluctuate.Apple purchases our MDM(or thin modem)products,which do not include our integrated application processor technology,and which have lower revenueand margin contributions than our combined modem a

307、nd application processor18products.Consequently,to the extent Apple takes device share from our customers who purchase our integrated modem and application processor products,ourrevenues and margins may be negatively impacted.The mobile industry has also experienced slowing growth in the premium-tie

308、r device segment due to,among other factors,a maturing premium-tiersmartphone industry in which demand is increasingly driven by new product launches and innovation cycles.A reduction in sales of premium-tier devices,areduction in sales of our premium-tier integrated circuit products(which have a hi

309、gher revenue and margin contribution than our lower-tier integrated circuitproducts),a shift in share away from OEMs that utilize our premium-tier products,or a shift in consumer demand in favor of refurbished or secondhand devices,would reduce our revenues and margins and may harm our ability to ac

310、hieve or sustain expected financial results.Any such reduction in revenues would alsoimpact our cash resources available for other purposes,such as research and development.Further,while we derive a portion of our revenues from areas outside of mobile handsets,e.g.,from industries such as automotive

311、 and IoT,certain productcategories within those industries may in themselves be subject to high levels of customer concentration.Although we have more than 300 licensees,we derive a significant portion of our licensing revenues from a limited number of licensees,which includes anumber of Chinese OEM

312、s.In the event that one or more of our significant licensees fail to meet their reporting and payment obligations,or we are unable to renewor modify one or more of their license agreements under similar terms as their existing agreements,our revenues,results of operations and cash flows would beadve

313、rsely impacted.Moreover,the success of our core licensing business depends in part on the ability of our licensees to continue to develop,introduce anddeliver high-volume products that achieve and sustain customer acceptance.We do not have control over the product development,sales efforts or pricin

314、g ofproducts by our licensees,and our licensees might not be successful in these efforts.Reductions in sales of our licensees products,or reductions in the averageselling prices of such products without a sufficient increase in the volumes sold,would generally have an adverse effect on our licensing

315、 revenues.Our business,particularly our semiconductor business,may suffer as a result of our customers vertically integrating(i.e.,developing their own integratedcircuit products).Certain of our largest customers(for example,Samsung)develop their own integrated circuit products,which they have in th

316、e past utilized,and currentlyutilize,in certain of their devices and we expect will in the future utilize in some or all of their devices,rather than our products(and they have and may continueto sell their integrated circuit products to third parties,discretely or together with certain of their oth

317、er products,in competition with us).Apple has utilized modem products of one of our competitors in some of its devices rather than our products,and solely utilized one of our competitorsproducts in several of its prior device launches.In December 2019,Apple acquired Intels modem assets and is develo

318、ping its own modem products using thoseassets.Accordingly,we expect Apple to use its own modem products,rather than our products,in some or all of its future devices.Similarly,we derive a significant portion of our revenues from Chinese OEMs.Certain of our customers in China have developed,and other

319、s may in thefuture develop,their own integrated circuit products and use such integrated circuit products in their devices rather than our integrated circuit products,includingdue to pressure from or policies of the Chinese government(whose Made in China 2025 campaign,announced in 2015,targeted 70%s

320、emiconductor self-sufficiency by 2025),concerns over losing access to our integrated circuit products as a result of actual,threatened or potential U.S.or Chinese governmentactions or policies,including trade protection or national security policies,or other reasons.See also the Risk Factor titled“A

321、 significant portion of our business isconcentrated in China,and the risks of such concentration are exacerbated by U.S./China trade and national security tensions.”In addition,periodic supply/capacity constraints within the semiconductor industry may further incentivize our customers to vertically

322、integrate in an effort tosecure additional control over their supply chains.If our customers begin using their own integrated circuit products rather than our products in some or all of their devices,or increase their use of their ownintegrated circuit products from current levels,our business,reven

323、ues,results of operations,cash flows and financial position could be materially adverselyimpacted.See also the Risk Factor titled“We derive a significant portion of our revenues from a small number of customers and licensees,and particularly fromtheir sale of premium tier handset devices.If revenues

324、 derived from these customers or licensees decrease or the timing of such revenues fluctuates,our businessand results of operations could be negatively affected.”A significant portion of our business is concentrated in China,and the risks of such concentration are exacerbated by U.S./China trade and

325、 national securitytensions.We derive a significant portion of our revenues from Chinese OEMs,and from non-Chinese OEMs that utilize our integrated circuit products in devices theysell into China,which has the largest number of smartphone users in the world.We also source certain critical integrated

326、circuit products from suppliers in China.Due to various factors,including pressure,encouragement or incentives from,or policies of,the Chinese government(such as its Made in China 2025campaign),concerns over losing access to our integrated circuit products as a result of actual,threatened or potenti

327、al U.S.or Chinese government actions orpolicies,including trade protection or national security policies,or other reasons,some of our customers in China have developed,and others may in the futuredevelop,their own19integrated circuit products and use such integrated circuit products in their devices

328、,or use our competitors integrated circuit products in their devices,rather thanour products,which could materially harm our business,revenues,results of operations,cash flows and financial position.See also the Risk Factor titled“Ourbusiness,particularly our semiconductor business,may suffer as a r

329、esult of our customers vertically integrating(i.e.,developing their own integrated circuitproducts).”Political actions,including trade protection and national security policies of the U.S.and Chinese governments,such as tariffs,bans or placing companies onrestricted entity lists,have in the past,cur

330、rently are and could in the future limit or prevent us from transacting business with certain of our Chinese customers orsuppliers,limit,prevent or discourage certain of our Chinese customers or suppliers from transacting business with us,or make it more expensive to do so.Givenour revenue concentra

331、tion in China,if,due to actual,threatened or potential U.S.or Chinese government actions or policies:we were further limited in,orprohibited from,selling our integrated circuit products to Chinese customers;our non-Chinese OEM customers were limited in,or prohibited from,selling devicesthat incorpor

332、ate our integrated circuit products into China;Chinese OEMs develop and use their own integrated circuit products or use our competitors integratedcircuit products in some or all of their devices rather than our integrated circuit products;Chinese tariffs on our integrated circuit products or on dev

333、ices whichincorporate our integrated circuit products made purchasing such products or devices more expensive to our Chinese customers or Chinese consumers;or ourChinese licensees delay or cease making payments of license fees they owe us,our business,revenues,results of operations,cash flows and financial positioncould be materially harmed.Similarly,if,due to U.S.or Chinese government actions or