This Day On The Street
Continue to site
ADVERTISEMENT
This account is pending registration confirmation. Please click on the link within the confirmation email previously sent you to complete registration.
Need a new registration confirmation email? Click here

Exclusive: Qualcomm to Power iPhone

Updated with Qualcomm comment.

SAN DIEGO ( TheStreet) -- Apparently it's bakeoff season in tech, and the latest blue ribbon goes to Qualcomm (QCOM - Get Report).

Apple (AAPL - Get Report) has chosen Qualcomm as its chip supplier for the new version of the iPhone headed to Verizon (VZ - Get Report) this summer, according to Northeast Securities analyst Ashok Kumar. Kumar confirmed the decision with the manufacturers and suppliers involved with the phone.

iPhone 3GS

The win is the second high-profile victory for the San Diego tech shop this week. On Tuesday, Google (GOOG) announced that its Nexus One phone -- made by HTC -- will be powered by Qualcomm's Snapdragon chip.

"It's looking like Qualcomm is beginning to be the one to beat," says Kumar, referring to the company's rising status in the smartphone race.

Apple representatives were not immediately available for comment. And a Qualcomm rep said "nothing has been disclosed yet."

The iPhone win, while huge for Qualcomm, doesn't involve its Snapdragon platform, but a 3G wireless technology chip for EV-DO, says Kumar.

Initially, Apple sought a chip that would allow it to sell a world phone, one that was compatible with the two leading wireless technologies -- GSM and CDMA.

But Qualcomm and others failed to deliver. Instead, Apple elected to go with Qualcomm in its Verizon iPhone, which is expected to arrive soon after AT&T's (T - Get Report) exclusive contract with Apple expires in June.

The loser in this deal is Germany's Infineon (IFNNY), the chip supplier to the AT&T iPhone.

Qualcomm shares are up 3% so far this year, continuing what was a 25% gain for 2009.

-- Reported by Scott Moritz in New York

See all our CES 2010 coverage

Check Out Our Best Services for Investors

Action Alerts PLUS

Portfolio Manager Jim Cramer and Director of Research Jack Mohr reveal their investment tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
Quant Ratings

Access the tool that DOMINATES the Russell 2000 and the S&P 500.

Product Features:
  • Buy, hold, or sell recommendations for over 4,300 stocks
  • Unlimited research reports on your favorite stocks
  • A custom stock screener
Stocks Under $10

David Peltier uncovers low dollar stocks with serious upside potential that are flying under Wall Street's radar.

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
14-Days Free
Only $9.95
14-Days Free
To begin commenting right away, you can log in below using your Disqus, Facebook, Twitter, OpenID or Yahoo login credentials. Alternatively, you can post a comment as a "guest" just by entering an email address. Your use of the commenting tool is subject to multiple terms of service/use and privacy policies - see here for more details.
Submit an article to us!
SYM TRADE IT LAST %CHG
AAPL $131.52 0.96%
QCOM $69.51 1.90%
T $34.24 0.68%
VZ $50.31 0.56%
FB $82.19 0.81%

Markets

DOW 18,063.49 -16.65 -0.09%
S&P 500 2,112.14 -5.55 -0.26%
NASDAQ 5,062.5410 -29.5440 -0.58%

Partners Compare Online Brokers

Free Reports

Top Rated Stocks Top Rated Funds Top Rated ETFs