Qualcomm signs $4 billion "multi-generational" data center and AI deal with AWS
Qualcomm plans to help AWS build future generations of silicon and optical networking for AI data centers.
Qualcomm and Amazon have entered a multi-generational partnership to develop innovative data center and AI infrastructure for AWS. Qualcomm will contribute its expertise in custom AI silicon and networking hardware, while Amazon will acquire 25 million Qualcomm shares worth over $4 billion. This collaboration aims to create more efficient, powerful, and cost-effective infrastructure for data centers, which are increasingly under pressure to enhance efficiency and reduce resource consumption.
Qualcomm's CEO, Cristiano Amon, emphasized that data centers must improve in computing and connectivity to handle the growing demand for AI. Amazon's sustainability report revealed a global average Power Usage Effectiveness (PUE) of 1.14, better than the industry average of 1.25 but behind Google's 1.09. With this partnership, AWS VP Prasad Kalyanaraman stated that the companies aim to deliver more performant, efficient, and cost-effective infrastructure for customers.
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