Qualcomm Nears $4 Billion Modular Deal Amid Broader AI Expansion

Qualcomm is in advanced discussions to acquire AI startup Modular in a deal valued at approximately $4 billion, according to a Bloomberg News report cited by Reuters.

If completed, the acquisition would represent a significant jump from the $1.6 billion valuation Modular secured during a funding round in September 2025. Founded in 2022, the company has raised $380 million to date, including a $250 million round last year. Reuters reported that a deal could be announced in the coming weeks, although negotiations remain ongoing and terms could still change.

Qualcomm Expands Beyond Smartphones

The reported acquisition comes as Qualcomm continues efforts to reduce its dependence on the smartphone market and expand into AI infrastructure, data center processors, and autonomous vehicle technologies.

That strategy has become increasingly visible over the past year as the company re-entered the data center market after previously withdrawing from the segment in 2018. Qualcomm CEO Cristiano Amon described data centers as a "new growth opportunity" during the company's 2025 earnings discussions.