LG Electronics, Inc. has decided to use the popular Snapdragon 800 processors of Qualcomm Technologies, Inc., – the business arm of world’s leading mobile chipset maker – Qualcomm Inc. (QCOM - Free Report) . The new chipset will be used in the flagship devices of popular LG Optimus smartphones.
Snapdragon 800 processors will be integrated with LG's G series devices, thereby improving battery life and supporting better graphics. Moreover, the addition of IZat Location technology will further enhance its navigation and location services, making LG's G series devices highly enhanced in comparison to other smartphones.
Qualcomm’s Snapdragon 800 quad core chipset supports 3G/4G LTE device and faster clock speeds of up to 2.3 GHz per core. Moreover, it is incorporated with Adreno 330 GPU, hence, offering ultra HD graphics. Such stunning chip features make it an immediate choice for the high-end device manufacturers.
A few days back, Microsoft Corp (MSFT - Free Report) also decided to use Snapdragon 800 processors in Windows’ RT 8.1-based tablets. We believe that the popularity of Snapdragon quad-core processors will continue to rise as premium smartphones like Samsung Electronic’s Galaxy S4, Sony Corp.’s (SNE - Free Report) Sony Xperia Z and Research In Motion’s new BlackBerry Z10 are already using Qualcomm’s chipsets.
In the recently concluded second quarter, Qualcomm shipped approximately 173 million CDMA-based MSM chipsets, up 14% year over year. The company intends to maintain this trend.
According to the industry sources, last year, 40 million devices integrated with quad-core processors were sold and nearly 250 million premium smartphones were shipped. Hence, we believe that such robust demand for high-end smartphones will continue to drive Qualcomm’s top-line growth.
Currently, Qualcomm carries a Zacks Rank #3 (Hold).