Qualcomm Shares Drop as Apple Exits and Memory Prices Hit Smartphone Sales

Qualcomm's stock took a hit as the chipmaker confronts a double threat: the impending loss of Apple as a major customer and rising memory costs that are cooling overall smartphone demand. Apple has been developing its own modem chips for years, aiming to replace Qualcomm's components in iPhones, a move that could erase billions in annual revenue for the San Diego-based company. Meanwhile, surging prices for DRAM and NAND memory are making smartphones more expensive to produce, leading manufacturers to trim orders and consumers to hold onto devices longer. These twin pressures have prompted analysts to lower their outlook for Qualcomm's chip sales in the coming quarters, even as the company pushes into automotive and IoT markets. Investors are watching closely to see if Qualcomm can offset the Apple loss and navigate a softening handset market. The next earnings report will be a key test of the company's resilience.