Qualcomm has entered into a long-term cooperation agreement with Amazon, under which Amazon may purchase up to $60 billion worth of Qualcomm AI data center chips and related products. As part of the agreement, Qualcomm has granted Amazon warrants valued at approximately $4 billion, allowing Amazon to purchase Qualcomm shares at $161.26 per share, with the warrants vesting as Amazon procures Qualcomm products. Both parties will jointly develop custom AI chips focused on AI inference and work on high-speed optical interconnect technology for data centers. Qualcomm aims to achieve $15 billion in annual data center chip revenue by 2029, and this collaboration is seen as a significant validation of its AI strategic transformation, helping to reduce its reliance on the smartphone business.