QCOM · 10-Q · 2026Q2 · Full report

Acquisition / Partnership / Divestiture

QUALCOMM INC/DE · 2026-07-29 · Importance 71 · Surprise 60 · In source text

Qualcomm acquired Alphawave in the first quarter of fiscal 2026, adding $88 million of third-quarter Data Center equipment and services revenue and $182 million for the first nine months. Qualcomm paid $1.6 billion in cash for acquisitions and other investments, net of cash acquired, during the first nine months of fiscal 2026. Approximately $2.3 billion of cash was restricted to fund consideration for the Alphawave transaction. The acquisition also contributed to $91 million of higher first-nine-month SG&A acquisition-related expenses.

Key facts

• In connection with the acquisition of Alphawave, we agreed to restrict approximately $2.3 billion of cash to be held for purposes of satisfying payment of the consideration to effect the acquisition. source
• During the first nine months of fiscal 2026 we paid $1.6 billion in cash for acquisitions and other investments (net of cash acquired). source
• Net gains on other investments in the first nine months of fiscal 2026 were primarily driven by observable price changes on certain of our QSI non-marketable equity investments, contributing $207 million of higher net gains. source
• The decrease in third quarter fiscal 2026 revenues was partially offset by $88 million in higher equipment and services revenues from our Data Center segment, primarily driven by our acquisition of Alphawave in the first quarter of fiscal 2026. source
• The first nine months of fiscal 2026 included $182 million in higher equipment and services revenues from our Data Center segment, primarily driven by our acquisition of Alphawave in the first quarter of fiscal 2026. source
• The increase in QSI first nine months EBT included a $136 million increase in our share of earnings in equity method investments. source
• Net gains on marketable securities in the third quarter and first nine months of fiscal 2026 were primarily driven by the initial public offerings of certain QSI equity investments. source
• QSI EBT increased in the third quarter of fiscal 2026 primarily due to higher net gains on marketable securities resulting from the initial public offerings of certain of our equity investments. source

Impact estimates