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Qualcomm, Inc. (QCOM) Launches World’s First 10nm Server Processor

Qualcomm Internet of Things

QUALCOMM, Inc. announced the world’s first 10nm server processor in a bid to challenge Intel in the data center market.

The new chip, called the Centriq 2400, is built by Qualcomm Datacenter Technologies using the most advanced chip manufacturing process.

New ARM Chips

The San Diego-based company said that it is sending samples of its new Centriq 2400 processor to companies for testing. The company is expected to start volume shipments in the second half of 2017.

The Centriq 2400 chip, built on the 10nm FinFET process technology, has 48 cores and features its custom ARMv8-compliant core called the Falkor CPU, which delivers both high performance and power efficiency.

“The Centriq 2400 series processors will drive high performance, power efficient ARM-based servers from concept to reality,” said Anand Chandrasekher, senior vice president and general manager at Qualcomm Datacenter Technologies.

“Qualcomm requires the leading edge of integrated circuit technology to deliver high performance at low power for the newest premium smartphones. We are first in 10nm IC technology for mobile, and leveraging our expertise in ARM processors and system on chip design, we are the first with our Qualcomm Centriq family of server processors to bring the leading edge to the datacenter,” Chandrasekher added.

In 2015, QUALCOMM, Inc. announced its first server chip with a “Server Development Platform” for data center companies to test the company’s technology.

Last month, the San Diego-based company said that its next generation mobile processor, the Snapdragon 835, will be built on the 10nm process node.

The company started shipping samples of the Centriq 2400 to potential customers. The chip is expected to be commercially available in the second half next year.

Northland Capital Markets Tom Sepenzis recently said that Apple is planning to ditch the Intel modem for its iPhone. The analyst said that the Intel modem used in some of its iPhones is inferior to the Qualcomm modem used in other versions.

Qualcomm Competing with Intel in Data Center Market

A report from Forbes suggests that QUALCOMM, Inc. is going to face a tremendous uphill battle in the data center market.

qualcomm

Intel is a big giant in the market for data center processors, owning upwards of 90% of the market. Certainly, it’s not going to cede territory to a competitor easily, according to the report.

Qualcomm’s processors are based on chip designs from ARM, which licenses out chip designs. In the past, many companies in have tried to break Intel’s dominance with ARM-based chips, but none have made it very far.

The  is seeking for growth outside of its core mobile business. The company is focusing on cars for future growth. It recently acquired chipmaker NXP, which builds chips for cars, in a deal valued at $47 billion.

“We’re committed to it,” said Chandrasekher. “The investment to get to this stage has been significant. This is going to take some time to bring home.”

According to a report from PC World, the Centriq 2400 is perhaps the best ARM server chip yet, but ARM servers’ adoption has been poor. Time will tell if Qualcomm can convince companies to switch from x86 to the ARM architecture.

Nathan Brookwood, principal analyst at Insight 64, said that Qualcomm Intel won’t sit by quietly and may have a strategy planned to take on Qualcomm’s chip if it does emerge as a threat.

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Adam Green is an experienced writer and fintech enthusiast. He he worked with LearnBonds.com since 2019 and covers a range of areas including: personal finance, savings, bonds and taxes.

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