QCOM · 10-K · 2026A · Full report

Supply Chain Constraints

QUALCOMM INC/DE · 2026-11-04 · Importance 38 · Surprise 24 · Matches filing data

Qualcomm described broad semiconductor input-cost increases and capacity constraints across wafer fabrication, assembly, test, advanced packaging, memory and other materials, partly associated with demand for leading-edge technologies, AI and data center applications. Higher costs from certain key suppliers are pressuring margins, and the company is increasing product pricing, with the full benefit expected in the second half of fiscal 2027. Component, manufacturing-capacity or service shortages could limit its ability to meet customer demand and cause lost or delayed revenue. Qualcomm also increased inventory to secure supply and mitigate disruptions from supply constraints.

Key facts

• QUALCOMM INC/DE's purchase obligations totaled $18.6 billion at September 27, 2026, primarily related to integrated circuit product supplier commitments including multi-year capacity commitments; $13.8 billion was expected to be paid in the next 12 months. source
• QUALCOMM INC/DE's operating cash flows were reduced by an increase in inventory to secure supply and mitigate supply-constraint disruptions, partly offset by a decrease in other assets due primarily to use of prior advanced supply agreement payments. source
• QUALCOMM INC/DE reports that semiconductor input costs and capacity constraints are increasing across wafer fabrication, assembly, test, advanced packaging, memory and other materials, partly due to demand for leading-edge technologies, AI and data center applications; increased product costs from key suppliers have and will continue to negatively affect margins. source
• QUALCOMM INC/DE warns that supplier supply and capacity constraints could limit component, manufacturing capacity or service availability, preventing it from fully satisfying customer demand and causing lost or delayed revenue and adverse effects on results, cash flows and financial condition. source

Impact estimates