South Korea's antitrust authority investigates Arm Holdings in Seoul, according to a source.
Investigation by South Korea's FTC: South Korea's antitrust regulator is investigating Arm Holdings' Seoul office due to concerns over its licensing practices, following a complaint from Qualcomm about restricted access to technology.
Qualcomm's Allegations: Qualcomm claims that Arm's actions are harming competition, despite having operated an open network for over 20 years, and is involved in a separate legal dispute with Arm in the U.S. regarding licensing negotiations.
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- Strong Performance: Qualcomm reported a 5% year-over-year revenue increase in Q1 2026, exceeding market expectations, which highlights the company's resilience in the smartphone chip sector, yet the outlook remains concerning.
- Memory Shortage Impact: CEO Cristiano Amon indicated that a severe shortage of memory chips, particularly DRAM, will lead smartphone OEMs to reduce chipset inventories, negatively impacting Qualcomm's sales, with a revenue decline expected in Q2.
- Market Dynamics Shift: Although overall smartphone shipments are projected to decline by 1%, IDC forecasts that the total value of smartphone shipments will reach a record high of $579 billion in 2026, suggesting resilience in the premium segment that may help Qualcomm offset some adverse effects from the memory shortage.
- Future Outlook: Qualcomm anticipates that its chips will power 75% of Samsung's upcoming premium devices, which, despite potential price increases, may sustain demand in the high-end market and support the company's performance in the short term.
- Price Range Analysis: The VGT ETF has a 52-week low of $451 per share and a high of $806.99, with the latest trade at $746.16, indicating stability within its trading range and investor interest.
- Technical Analysis Tool: Comparing the current share price to the 200-day moving average provides valuable insights for investors, aiding in market trend assessment and potential buying opportunities.
- ETF Trading Mechanism: ETFs trade like stocks, where investors buy and sell 'units' that can be created or destroyed based on demand, impacting liquidity and market performance.
- Inflows and Outflows Monitoring: Weekly monitoring of changes in shares outstanding highlights notable inflows (new units created) or outflows (old units destroyed), which can significantly affect the performance of individual stocks within the ETF and overall market dynamics.
Stock Market Outlook: The Super Bowl Indicator suggests a positive year for the stock market, particularly following the Seattle Seahawks' victory.
Investor Sentiment: Even skeptics of the Super Bowl Indicator can find reasons for optimism as the market approaches a significant January jobs report.
- Musk Ordered to Testify: A federal judge has ruled that Elon Musk must testify regarding his role in dismantling USAID, rejecting his legal team's attempt to avoid questioning, which could impact Musk's reputation and future business endeavors.
- Alphabet Beats Earnings Estimates: Alphabet reported fourth-quarter revenue of $113.83 billion, surpassing the Street consensus estimate of $111.31 billion, with earnings per share of $2.82 exceeding expectations of $2.63, indicating strong performance in advertising and cloud services that may drive stock price increases.
- Amazon Delivery Milestone: Amazon announced it delivered over 13 billion items globally in 2025, with more than 8 billion items reaching U.S. Prime members the same or next day, a speed enhancement that will further strengthen its competitive position in the e-commerce market.
- Tesla's New Model Launch: Tesla unveiled a new All-Wheel Drive variant of the Model Y in the U.S. and Puerto Rico following Elon Musk's announcement of discontinuing the Model S and X, which could attract more consumers and enhance market share.
- Intense Recruitment Competition: Elon Musk disclosed that Apple aggressively pursued Tesla engineers with high-paying recruitment calls during its abandoned electric vehicle project, highlighting the fierce talent competition that could impact Tesla's technological advancements.
- Sales Performance Breakthrough: Apple reported record iPhone sales in its latest earnings report, boosting its market share to 69%, despite weak sales in both low-end and premium Android devices, demonstrating Apple's strong brand loyalty and market appeal in a competitive landscape.
- Leadership Change Speculation: Rumors surrounding CEO Tim Cook potentially stepping down in 2026 are gaining traction, with prediction markets indicating a 33% chance of his departure, which could lead to significant shifts in the company's strategic direction and affect investor confidence.
- Holiday Season Support: Apple plans to support Qualcomm during the holiday season, potentially enhancing product sales and further solidifying its market leadership, especially as competitors face challenges in the current environment.
- Supply Chain Disruption: Qualcomm anticipates a 1% decline in smartphone shipments for 2026 due to severe memory chip shortages, leading OEMs to pull back on orders, which negatively impacts overall sales performance.
- Premium Market Resilience: Despite the expected decline in shipments, IDC forecasts that the total value of smartphone shipments will reach $579 billion, indicating that the premium segment remains resilient to price increases, potentially helping Qualcomm offset some sales pressures.
- Manufacturing Capacity Constraints: Qualcomm's CEO highlighted that the memory shortage will severely impact the smartphone market, particularly as Chinese OEMs adopt cautious strategies and reduce chipset inventories, resulting in downward pressure on Qualcomm's sales.
- Long-term Investment Appeal: Despite facing short-term challenges, Qualcomm's stock trades at approximately 12 times forward earnings, suggesting that long-term investors may find it attractive, especially as demand for high-end chips continues to grow.










