https://preview.redd.it/c11o42xny5rh1.png?width=2028&format=png&auto=webp&s=49e162153e0e9ac175093e7c3b8689ef7ddf93de
Advanced manufacturing, which elevated TSMC into the trillion dollar market cap club seems to have created positive feedback loop into other segment of the Taiwan tech sectors.
MediaTek have risen up onto the global stage with help from TSMC and Nvidia.
[https://nvidianews.nvidia.com/news/nvidia-and-mediatek-deepen-long-standing-partnership-to-build-ai-edge-to-cloud-computing-platforms](https://nvidianews.nvidia.com/news/nvidia-and-mediatek-deepen-long-standing-partnership-to-build-ai-edge-to-cloud-computing-platforms)
NVIDIA has also invested $3.5 billion in convertible bonds issued by MediaTek.
Jensen's physical appearance and language skill helps him out when interacting in Taiwan.
Unfortunately, no way Qualcomm CEO can replicate that.
But for Qualcomm, their stronghold business segment which is mobile SOC/networking seems to be getting encroach upon.
**MediaTek and ARM -> are going to OEM directly and selling them their own aarch ISA SOC.**
**This will eat into Qualcomm's core business.**
**Apple using their in-house modern, eventually parting ways with Qualcomm.**
For Data-Center, Qualcomm is very late to the DC party and realistically need a major product breakthrough to have a good chance carving out profits there.
Breakthrough in terms of a good design/micro-architecture couple with a good process node from the foundry for things to take off.
Looking at the Taiwan news headline, i fear that TSMC (behind Qualcomm's back, can't 100% rule the possibility out) maybe siding more towards MediaTek down the road.
That indirectly back foot Qualcomm even more since they are a "Fabless Design" company and rely very heavily on TSMC.
**That leaves Qualcomm really stuck without a good moat to defend their market against ARM and MediaTek. Concurrently to invest in data-center segment to carve out something.**
For them to stage a comeback, they probably need to tap on alternatives beside TSMC down the road? And they probably have to make a big switch fast (doing it sooner rather than later).
Only viable alternatives are Samsung and Intel Foundries.
The others are too far out (like Japan's Rapidus and TeraFab) or would need enormous of CAPEX and time to compete on the leading edge with advanced packaging and at scale.
https://preview.redd.it/3isznhnp26rh1.png?width=1004&format=png&auto=webp&s=abb94cea1f94201ef21c2696442680fe63057349
Things don't look that great for Qualcomm at least from an outsider perspective.