QUALCOMM CEO: SMARTPHONE MARKET TO STAY SUPPRESSED

Amon attributed the market's suppressed state to escalating production expenses rather than weak consumer interest. The cost pressures are preventing the smartphone sector from expanding despite sustained demand. The remarks come as the industry grapples with elevated component prices and supply chain challenges. Manufacturers face difficult choices between absorbing costs or passing them to consumers through higher device prices. Qualcomm, a major chipmaker for mobile devices, has visibility into demand patterns across its customer base. Amon's assessment suggests the market will remain constrained until manufacturing economics improve. The smartphone industry has cycled through periods of rapid growth and consolidation. Current pricing pressures may influence upgrade cycles and market saturation levels in coming quarters.