Qualcomm Names New CTO as Veteran Executive Retires
SAN DIEGO – Qualcomm Incorporated, a major player in the semiconductor industry with a market capitalization of $177.6 billion and an annual revenue of $39 billion, has announced a significant transition in its executive team. Dr. Baaziz Achour is set to assume the role of Chief Technology Officer of Qualcomm Technologies, Inc. on February 3, 2025, succeeding the longtime CTO, Dr. James Thompson, who is retiring after a remarkable 33-year career with the company. Qualcomm continues to display strong financial health, boasting a gross profit margin of 56.2%.
Dr. Achour, currently serving as the Deputy Chief Technology Officer, will take charge of leading Qualcomm’s research and development as well as its engineering organizations. His responsibilities will include overseeing the company’s initiatives in wireless communications, computing, and artificial intelligence (AI) technologies.
Cristiano Amon, President and CEO of Qualcomm, conveyed his eagerness to collaborate with Dr. Achour in his new role while expressing appreciation for Dr. Thompson’s extensive contributions during his tenure. Amon notably emphasized Thompson’s pivotal role in advancing Qualcomm’s wireless technology and broadening its reach into various sectors such as automotive, personal computer (PC), industrial applications, extended reality (XR), and networking.
Since joining Qualcomm in 1993 as a Systems Engineer, Dr. Achour has played a crucial role in the development of every generation of wireless technology, significantly contributing to the accelerated implementation of 5G. He is anticipated to lead the firm’s evolution toward 6G technology. Dr. Achour holds a B.S. in Physics along with advanced degrees in Electrical Engineering and is credited with 24 U.S. patents in the area of wireless communications.
Qualcomm is well-recognized for its innovative contributions to intelligent computing and its Snapdragon-branded platforms, which are central to transforming key industries and enhancing consumer experiences. With nearly 40 years of history, the company has consistently set industry standards and driven substantial technological advancements.
This leadership transition comes at a time when Qualcomm is actively pursuing digital transformation and striving to enhance lives through its advanced technologies. Current analyses suggest that Qualcomm’s stock appears undervalued, indicating a potential upside for investors. The company has demonstrated a strong commitment to shareholder returns by maintaining dividend payments consistently for 22 years.
In other developments, Qualcomm has been the focal point of various analyst reports and strategic updates. Melius Research initiated coverage with a Hold rating and a price target of $180, citing expectations of a revenue growth slowdown. Contrarily, TD Cowen upheld a Buy rating with a price target of $200, emphasizing the company’s diversification efforts and advancements in AI.
Susquehanna has expressed a positive outlook on Qualcomm, though with a reduced price target of $210, reflecting confidence in Qualcomm’s transition to a more diversified semiconductor player. Analyst firms like Cantor Fitzgerald, UBS, and Loop Capital have maintained a Neutral rating for Qualcomm shares, emphasizing the necessity for revenue diversification while acknowledging the challenges within the mobile market.
From a financial perspective, Qualcomm reported non-GAAP revenue figures of $10.2 billion along with earnings per share of $2.69. The chipset segment was a major contributor, generating $8.7 billion, while licensing brought in $1.5 billion. The automotive segment marked a milestone with record revenues of $899 million.
In pursuit of growth, Qualcomm has unveiled a strategy aimed at targeting a total addressable market projected to reach approximately $900 billion by 2030, with notable growth anticipated in sectors such as automotive, Internet of Things (IoT), PC, industrial applications, and extended reality.
These developments signify a critical period for Qualcomm as it navigates the shifting landscape of the semiconductor industry while striving to build upon its legacy of innovation.
