Qualcomm will broadly raise chip prices from Sept. 1, citing shortages in the supply of components such as memory. CNBC reported on Tuesday that Qualcomm's fiscal third-quarter results matched market expectations, but its outlook for the current quarter fell short of expectations.

Qualcomm forecast adjusted earnings per share of $2.05 to $2.25 for the current quarter and revenue of $9.7 billion to $10.5 billion. Market estimates were for adjusted earnings per share of $2.36 and revenue of $10.02 billion.

Net profit was $2.0 billion, down 25 percent from $2.66 billion a year earlier.

Qualcomm said input costs are rising across wafer production, assembly, testing, advanced packaging, memory and other materials, but revenue remains solid.

Chief Executive Cristiano Amon (크리스티아누 아몬) said it will boost profitability through price increases and supply chain efficiency. He said the company has no choice but to raise prices as costs rise, and that margin pressure from higher supply costs is a short-term phenomenon.

Its core smartphone chip business was weak. Handset chip revenue was $5.1 billion, down 20 percent from a year earlier. Qualcomm said the figure reflected signs that the China market is bottoming out. Amon said competitiveness has weakened for low-end and mid-range smartphones due to strains on purchasing power, and that consumers in the premium Android phone market are also looking for lower price points. He said rising memory prices have increased preference even in the premium segment for relatively cheaper models and older models.

Its automotive business continued to grow. Automotive revenue was $1.59 billion. Qualcomm presented a target in June of $10.0 billion in automotive revenue in 2029, and on the day also announced a deal with BMW to supply digital cockpit chips.

Qualcomm is expanding into automobiles, smart glasses and robots, pursuing a goal of lifting the share of non-smartphone revenue next year to 60 percent of the total. Internet of Things revenue was $1.83 billion, up 9 percent from a year earlier, and the segment includes low-power industrial chips and chips for smart glasses.

It also continued expanding its data centre business. Amon said it is maintaining a target of $5.0 billion in data centre revenue next year. Qualcomm said it completed the acquisition of Modular, a software company that develops programming technology for AI, and added it plans to unveil an AI software platform at a conference in August.