LAS VEGAS — Qualcomm is carving out a new role in the auto supply chain as its business grows, simultaneously acting as a supplier and a partner with its automaker customers.
"There is a very clear supply relationship that you have to embrace, but that partnership piece has become very important," said Nakul Duggal, Qualcomm's automotive chief, told Automotive News at CES.
As many automakers increasingly lean on Qualcomm to help make their vehicles more digitized, they have started to realize that the San Diego tech giant is not like a traditional Tier 1 supplier. And that reality requires different approaches to doing business on both sides, Duggal said.
"Automakers that we have direct partnerships with now realize we're not a Tier 1," he said. "We're not going to sign up to do things Tier 1 suppliers do. They see what our capabilities are. They know what we're good at and what we're not good at."