STOCKS | Qualcomm Announces Data Center Infrastructure Partnership With AWS

Qualcomm shares rose 4% on Tuesday after the company announced a data center infrastructure partnership with Amazon Web Services (AWS). According to Sina Finance, the chipmaker said it had granted Amazon a warrant to buy 25 million Qualcomm shares at $161.26 each, for a total investment of $4 billion. According to a news release on the technology collaboration, Qualcomm is working with Amazon on multiple generations of custom chips to help build AWS AI infrastructure, with a particular focus on inference. Qualcomm said the partnership combines Amazon's AI infrastructure with its own strengths in energy-efficient processing, chip design, and system-level integration. Qualcomm also said the warrant expires on September 3, 2036, and that the shares will depend on the execution of certain commercial arrangements and purchases of up to $60 billion of Qualcomm server chips and other technologies.