Qualcomm Downsizes, Closes Data Center – China Takes Blueprints

It is now something of benefit for China as it gains access to Qualcomm’s blueprints from its data center. The Guizhou joint-venture touts Centriq kind of 48-core ARM server CPU.

269 workers have been laid off from the Analysis Qualcomm data center in USA. However, the company is just waking up from its dream of filling data centers worldwide with its own Arm-based server processors.

The laid-off employees are said to work in divisions across the chip design giant and their losing the job is largely due to Qualcomm’s resolve to embrace the plan to invade cloud providers with its own beefy Centriq CPUs.

It is also said that this plan may have in one way or the other displaced Intel and the rising AMD if it had come to fruition. But the good news is that as the company winds down in USA, it still lives on in China. That is why it is said that the blueprint now belongs to China.

According to a reliable quote, “Qualcomm is reducing our investment in the data center business however, it remains committed to business obligations and upcoming compute opportunities at the edge of 5G networks and AI inference cloud solutions.”

The statement went further that “Qualcomm plans to continue supporting the HXT server joint venture in China. We are fully focused on executing on our 5G program.”

As the story had it, Qualcomm even moved some of its flagship Snapdragon mobile CPU engineers over to the Centriq team which had swelled to about 1,000 heads in total. The company was that committed.

It was sometime after that situation things went awry. The business was severely wounded when with Broadcom’s take over bid, while the acquisition of NXP was derailed. Thereafter, sometime in April, the company was forced to cut $1 billion in costs, laying off more than 1,200 workers. At the same time, Intel and AMD were striving and working on 48 and 64-core server chips, which would have been a headache for Centriq.

The overall big trouble that wanted to wreck Qualcomm is the Broadcom deal which went awry. However, thye executives saved the day with Centriq.

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Samuel Afolabi is a lazy tech-savvy that loves writing almost all tech-related kinds of stuff. He is the Editor-in-Chief of TechVaz. You can connect with him socially :)

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