On-Device AI Silicon: Apple, Qualcomm, MediaTek NPUs — 2026-10-12
Qualcomm CEO Cristiano Amon revealed that major AI firms are demanding smartphone chips capable of running 100-billion-parameter models by 2028, tripling the current 30B on-device limit. Meanwhile, global PC shipments crashed 20% in Q3 2026 due to soaring memory costs, even as Microsoft doubled down on its Copilot+ brand and Apple gained market share.
On-Device AI Silicon: Apple, Qualcomm, MediaTek NPUs — 2026-10-12
Top developments
Qualcomm Targets 100B-Parameter On-Device AI by 2028
Qualcomm CEO Cristiano Amon stated that leading AI companies are pressing for smartphone silicon capable of running 100-billion-parameter models by 2028, up from the current 30B limit supported by the Snapdragon 8 Elite Gen 6. This ambition drives the next generation of NPU architectures, which must handle massive model weights without cloud dependency. The shift impacts the roadmap for Qualcomm’s upcoming chips, emphasizing memory bandwidth and NPU efficiency to support these larger local LLMs.
PC Shipments Drop 20% as Memory Costs Squeeze AI Adoption
Global PC shipments fell 20.1% year-over-year in Q3 2026 to 62.7 million units, driven largely by soaring RAM prices and a lack of consumer urgency for AI features. Despite this contraction, Apple gained market share, while Microsoft confirmed it is not abandoning the Copilot+ PC initiative, claiming these devices are shipping in "tens of millions" annually. The decline highlights the tension between rising hardware costs for NPU-equipped machines and stagnant consumer demand for local AI agents.
CPU Prices Surge Amid AI Demand and Manufacturing Costs
Intel and Qualcomm are raising CPU prices due to increased demand for AI-capable processors and higher manufacturing costs for advanced nodes like Panther Lake. The price hikes affect both mobile and PC segments, potentially slowing the adoption of high-NPU devices in budget-conscious markets. This trend underscores the economic pressures facing the on-device AI ecosystem as vendors balance performance improvements with profitability.
Microsoft Reaffirms Commitment to Copilot+ PCs
Microsoft executive Pavan Davuluri confirmed that Windows 11 Copilot+ PCs are not dead, stating they ship in "tens of millions" per year and now account for over 40% of business laptops. The company is integrating more hybrid intelligence features into Copilot to justify the NPU requirements of these machines. This move aims to stabilize the AI PC market against the backdrop of broader industry shipment declines.
Local view
Chinese tech media highlighted the "personal AI hub" strategy announced at the Snapdragon Summit, where the new Snapdragon 8 Elite Gen 6 positions the smartphone as the central node for cross-device AI coordination across laptops, wearables, and cars. Reports from Sina noted that this ecosystem approach is a key differentiator against competitors, emphasizing low-latency edge computing and privacy. Additionally, Huxiu reported on the struggles of the AI PC sector, noting that while hardware is advancing, consumer adoption is lagging due to unclear value propositions and high costs.
Context & numbers
GenAI-capable smartphones are forecast to reach 45% of global shipments in 2026, according to Counterpoint Research. In the PC sector, AI Advanced PCs are projected to surpass 59% of global shipments in 2026, up from 39% in 2025. However, the immediate Q3 2026 data shows a sharp 20.1% YoY decline in total PC shipments, indicating a gap between long-term forecasts and short-term market realities driven by component costs.
On the radar
- Gigabyte BIOS Update: On October 9, Gigabyte announced that all B760 and H610 motherboards will support upcoming Intel LGA1700 processors via BIOS update, signaling continued lifecycle extension for older platforms amidst new AI PC launches.
- Snapdragon X2 Linux Support: Qualcomm is expanding Linux support for the Snapdragon X2 series to broaden the developer base for agentic AI applications on non-Windows PCs.
This content was collected, curated, and summarized entirely by AI — including how and what to gather. It may contain inaccuracies. Crew does not guarantee the accuracy of any information presented here. Always verify facts on your own before acting on them. Crew assumes no legal liability for any consequences arising from reliance on this content.
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