American - Businessman | -
If you look at a company like Qualcomm, we're a big exporter. We essentially have tremendous revenue offshore and large employment onshore. I think it's very difficult to make big changes in that.
Steve Mollenkopf
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The licensing business is about licensing the full portfolio of Qualcomm's patents. Some of them involve the chip. Some of them don't involve the chip. In fact, the vast majority of them don't involve the chip.
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Every major car company is trying to figure out, 'How do I deploy the Internet into the car? How do I get cars to talk to each other? How do I get more safety? How do I get the ownership experience to change dramatically as a result?'
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If you look at the developed world, people have multiple devices now. And a phone works with a watch, with a car, with a tablet, with a number of other type of devices.
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When you go in to get your car serviced, they plug it in and tell you everything that happened for the last six months. I walk in and get a stress test from my doctor, and they make a conclusion based off of that. That doesn't make sense to me. I would much prefer to have all of the data about myself and less about my car.
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A heart monitor is only useful if it's being remotely monitored if there's security. That is a massive issue that you need to solve. The difference between having the Internet in your phone and having the Internet understand your pulse and the motion of all of your limbs. There's just a different level of security and robustness that's required.
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When people talk about wearables, when people talk about connected XYZ - home, car, whatever - those are all smartphone technologies.
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Look at smartphones. We are seeing growth almost like a barbell. You see lower-priced but high-volume growth in the developing world. But it ends up the average selling prices in the developing world are actually a lot higher than what people think.
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In the chip business, our higher-tier products are actually becoming more expensive because more and more of the functionality of the phone comes into the chip itself. So we have been grabbing content on the phone at a time when the phone is becoming more and more like a PC in terms of things it can do.
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If you look at where the growth is happening - tablet growth compared to the traditional PC growth - you just can't compare them.
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Power, of course, is very important, but really, there's a bundle of technologies you have to have to make sure they're highly integrated, so you have to have modem, you have to have connectivity, you have to have GPS, you have to have graphics, you have to have CPU.
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Cars are now saying, 'I need special features because I'm going to rely on the network for mission critical things, safety, transportation efficiency.'
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