Qualcomm Acquires AI Software Firm Modular for $3.9 Billion

Jun 24, 2026

Qualcomm is acquiring AI software firm Modular for approximately $3.9 billion in an all-stock deal, issuing up to 19.2 million shares. The move aims to bolster Qualcomm's software stack for its strategic push into the data center market. The acquisition will help customers run AI more efficiently and at a lower cost, addressing enterprise needs amid skyrocketing demand for AI infrastructure and rising token costs.

Qualcomm-Modular acquisition

▪The acquisition is valued at about $3.9 billion, with some calculations placing it at $3.92 billion.
▪Qualcomm is acquiring the AI software company Modular.
▪The issuance of Qualcomm shares for the acquisition will be made in a private placement.
▪As payment, Qualcomm will issue up to 19.2 million shares of its common stock to Modular's equity owners.
▪The deal is expected to close in the second half of 2026.
▪The deal's valuation is based on Qualcomm's closing stock price of $204.13 on Tuesday, June 23, 2026.

AI inference market positioning

▪Qualcomm aims to help customers move AI into production from device to cloud more quickly.
▪The acquisition will better position Qualcomm in the AI inference market.
▪Qualcomm CEO Cristiano Amon said the company believes the future is in developer-friendly, horizontal platforms for AI deployment.

Enterprise AI optimization demand

▪Businesses are seeking ways to optimize AI use as token costs are skyrocketing and hampering enterprise budgets.
▪The deal aims to make artificial intelligence faster and cheaper for Qualcomm's customers.
▪Modular's software allows AI to run efficiently across hardware architectures, enabling deployment at a lower total cost.

Data center expansion strategy

▪The growth of AI has spiked demand for infrastructure capable of processing large swaths of data.
▪The acquisition will aid Qualcomm's strategic push into the data center market.