Qualcomm reveals Snapdragon X chip for AI PCs, new desktop system at CES 2025

Qualcomm (QCOM) is diving further into the PC industry, debuting its new Snapdragon X chip for mid-range laptops and desktops. The chip, which the company says will be available in PCs beginning this month, is the fourth in Qualcomm’s line of Snapdragon X processors behind its Snapdragon X Plus 8-core, Snapdragon X Plus, and high-powered Snapdragon X Elite.

The company says its Arm-based Snapdragon X, which is built using a 4-nanometer process, packs eight CPU cores and offers 45 TOPS (trillions of operations per second). TOPS is a general way to measure AI workload performance. Thanks to that, the Snapdragon X falls under Microsoft’s (MSFT) Copilot+PC umbrella of AI PCs, which means it’s capable of running Microsoft’s onboard AI apps including Recall and Click to Do.

AI PCs are a category of PCs that can natively run certain AI applications without having to rely on cloud processing. That doesn’t mean they don’t use cloud computing at times, but rather that they can handle AI apps that would take non-AI PCs far longer, such as photo editing or text summarization.

Qualcomm is lining up the Snapdragon X against Intel’s (INTC) Core 5 120U processor, which is also used to power mid-range PCs. Overall, the company says its Snapdragon X offers better performance per watt than the competing Intel chip and is better suited for AI tasks.

But on-device AI isn’t something most customers need at the moment. Especially since apps like ChatGPT need to connect to the web to provide answers to users’ queries. In fact, it’s the Snapdragon X’s battery life that will likely draw users’ attention.

According to Qualcomm, a Snapdragon X-equipped test PC lasted 106% longer while streaming Netflix than an Intel Core 5-powered notebook. Battery life has been a persistent problem for Intel-based systems for years.

In fact, Apple (AAPL) significantly boosted the battery life of its MacBook laptops after ditching Intel as its primary chip partner and switching to its own homegrown Arm-based (ARM) processors.

Intel isn’t sitting idly by though. The company has already debuted its second-generation Core Ultra chips, which it says can compete with Qualcomm’s offerings.

Qualcomm also announced it is bringing its Snapdragon chips to desktop PCs. Don’t expect them to start cropping up in giant, glowing gaming PCs though. Instead, Qualcomm says its processors will be available in super-compact desktops, otherwise known as mini-PCs.

The company’s decision to expand deeper into the laptop and desktop business is part of its broader strategy to move beyond the slowing smartphone industry, which is its primary breadwinner.

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Qualcomm’s move also stands as a stark threat to Intel. While the company still maintains 76.1% market share, according to Mercury Research data published by Tom’s Hardware, AMD (AMD) has been gaining on its longtime rival. Add in Qualcomm and its promise of better battery life and AI capabilities, and you’ve got a potentially dangerous situation for Intel.

More troubling is the fact that Intel’s Client Computing Group (CCG), the segment that includes sales of chips for consumers and enterprise users, is its biggest breadwinner. In Q3, CCG pulled in $7.3 billion of the company’s $13.3 billion in total revenue. Intel’s Data Center and AI and Network and Edge segments brought in $3.3 billion and $1.5 billion, respectively.

Suffice it to say, any competitors cutting into Intel’s most important business segment pose a risk to its moneymaker, something the company can’t afford as it continues to navigate a difficult turnaround that’s cost former CEO Pat Gelsinger his job.

Email Daniel Howley at dhowley@yahoofinance.com. Follow him on Twitter at @DanielHowley.

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