In a significant development, Qualcomm (NASDAQ:QCOM), a prominent player in the Semiconductors & Semiconductor Equipment industry as per InvestingPro Tips, has launched its advanced Augmented Reality (AR) and Virtual Reality (VR) platforms, named Snapdragon XR Gen 2 and AR1 Gen 1, on Friday. These new chipsets are designed to provide enhanced visuals, superior audio quality, and efficient on-device AI processing for AR glasses and headsets, setting the stage for a major transformation in the AR/VR industry.
The Snapdragon XR Gen 2 platform is particularly noteworthy due to its improved performance over its predecessor. It offers 2.5x better GPU performance, an 8x boost in AI capabilities, support for up to 10 cameras and sensors, dual 3K displays, and houses the latest Spectra ISP. This chipset is designed to cater to the growing demand for high-quality VR and mixed-reality experiences. According to InvestingPro data, Qualcomm has a market cap (adjusted) of 123.86B USD and a P/E ratio of 14.4, indicating a strong financial performance.
Conversely, the Snapdragon AR1 Gen 1 platform is tailored specifically for lightweight smart glasses with mixed reality features. It supports up to 12MP cameras and eight microphones, enabling recording and live-streaming directly from the glasses, as well as facilitating visual searches and real-life translation.
These next-generation platforms were developed in close collaboration with Meta (NASDAQ:META), a renowned player in the Interactive Media & Services industry as per InvestingPro Tips, and are expected to debut on Meta devices later this year. The Meta Quest 3 will be powered by the Snapdragon XR2 Gen 2 Platform, while the Ray-Ban Meta smart glasses will utilize the Snapdragon AR1 Platform. Meta's market cap (adjusted) stands at a whopping 772.39B USD, and it has shown a 1-year price total return of 122.83%, as per InvestingPro data.
The introduction of these platforms opens up opportunities for other Original Equipment Manufacturers (OEMs) to develop their own devices using these chips starting in 2024. This comes at a time when the AR/VR space is expected to see a surge in popularity following the launch of Apple (NASDAQ:AAPL)'s Vision Pro.
As per InvestingPro Tips, Qualcomm has been profitable over the last twelve months and yields a high return on invested capital, further solidifying its strong position in the market. For more insights, you can explore additional 10 InvestingPro Tips here.
This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.