Qualcomm will focus on low-cost and China in 2014

While the manufacturer is in almost all high-end smartphones today, he announced that he would turn to low-cost. Curious? Maybe not.

Qualcomm has finally won the war of high-end smartphones in 2013. While 2012 was tinged with green, with a nVidia great strength, with its Tegra processors, Qualcomm has won the bet on almost all high-end 2013 models. Sony, HTC, Samsung, LG ... all trusted the manufacturer to equip the most powerful market animals. Snapdragon 800 has become the ultimate and few models are now tempted by the competition reference, as the Qualcomm / Android operating torque. But why turn to low-cost?
Well maybe even a semblance of monopoly Qualcomm fails to earn enough money. Qualcomm announced Wednesday in its report that the income tax for 2014 would amount to a sum between 26 and 27.5 billion. For the fiscal quarter, the automaker posted 6.48 billion dollars in revenue, which corresponds to 33% increase compared to last year. Net profits are higher than 18% compared to last year, but the company lost 5% over the previous quarter. According to her, despite it looking good, should continue to hit market where the future lies.
And Qualcomm, the future market is China, combined with the low-cost smartphone market. The upscale operates on a simple dynamic: the processors are expensive to produce, but the margin that manufacturers take component is also high. That said, it sells for less, on a global scale, high-end smartphone that entry-level smartphone. So, reducing production costs and lowering the margin, the balance of power could be to the advantage of low cost, which is entitled to enter a huge number of households. The next year, Qualcomm will build elsewhere in China on many processors with 4G modem and can be fitted in all local smartphones.