Qualcomm Stock Drops 5.15% Amid Apple's 5G Modem Shift

On July 31, 2025, Qualcomm's stock experienced a 5.15% drop in pre-market trading, reflecting investor concerns and market dynamics.

Recently, the launch of the iPhone 16e, featuring Apple's self-developed C1 5G modem, signals Apple's gradual reduction in dependence on Qualcomm. This shift has raised concerns about Qualcomm's future revenue streams, particularly from its smartphone chip business.

In response to these challenges, Qualcomm has been diversifying its business. The company reported strong growth in its automotive and IoT segments, with revenues increasing by 21% and 24% respectively. Qualcomm is also exploring new markets, including AI data centers and smart glasses, to mitigate the impact of Apple's transition to self-developed modems.

Despite these efforts, Qualcomm's stock has faced volatility due to market concerns over its smartphone chip business and the potential loss of Apple as a major customer. The company's recent financial performance, while generally positive, has not fully alleviated these concerns, leading to fluctuations in its stock price.