Qualcomm has secured a deal to supply artificial intelligence chips for data centers operated by ByteDance, the Chinese technology company behind TikTok, giving the U.S. chipmaker a major foothold in the rapidly expanding AI infrastructure market.
ByteDance plans to purchase millions of Qualcomm application-specific integrated circuits, or ASICs, to support its AI agent software and broader artificial intelligence operations, according to Bloomberg. The agreement positions ByteDance among the first major customers for Qualcomm's AI-focused ASIC business as the company seeks to expand beyond its traditional smartphone processor market. Reuters reported that Qualcomm shares rose about 5% following news of the deal.
