Qualcomm Partners With Microsoft to Enhance AR Experience

Qualcomm (QCOM) has inked a strategic collaboration agreement with Microsoft (MSFT) to expand and accelerate the adoption of augmented reality (AR). Both companies are strong believers in the metaverse and will work together across several initiatives. QCOM shares rose 0.55% to close at $187.23 on January 4.

Qualcomm is a U.S. company that designs, develops, and sells telecommunications products and services.

Enhancing AR Experience

Part of the collaboration involves coming up with custom AR chips to power a new line of power-efficient and lightweight augmented reality glasses. Qualcomm also plans to integrate Microsoft Mesh software.

The strategic partnership affirms Qualcomm’s goal to enable transformative experiences for next-generation AR devices as part of the broader metaverse. The chip giant also plans to integrate the Snapdragon Spaces XR Developer Platform.

Qualcomm Vice President and General Manager of XR, Hugo Swart, expects the partnership with Microsoft to expand and scale the adoption of AR hardware and software. The software giant has already affirmed its commitment to help deliver a safe and comprehensive set of capabilities.

Microsoft Earnings

Microsoft’s earnings for Fiscal Q2 2022 are scheduled for January 27, 2022. EPS for the quarter is expected at $2.31 compared to $2.03 per share delivered in the same quarter last year.

Stock Rating

In November, Goldman Sachs analyst Rod Hall reiterated a Buy rating on Qualcomm stock with a $208 price target, implying 11.09% upside potential to current levels. According to the analyst, the company is well-positioned to benefit given the opportunities around the Android ecosystem.

Consensus among analysts is a Moderate Buy based on 12 Buys and 9 Holds. The average Qualcomm price target of $197.28 implies 5.37% upside potential to current levels.

Download the mobile app now, available on iOS and Android

Related News:
GrowGeneration Acquires Mobile Media Inc. and MMI Agriculture for $9.4M
Illumina Joins Hands with Syapse to Develop Oncology Solutions
Deere Launches Fully Autonomous Tractor