In the past years, the US-based global leader in 3G and next generation wireless telecommunication technologies has established cooperative relationships with Chinese counterparts such as Huawei, ZTE, Yulong Coolpad and Wingtech.

Qualcomm's branch in Xi'an is a strategic option and also a good beginning, said Zhao Hongzhuan, director of the Xi'an high-tech area management committee, adding that the area will provide "big support and quality service" to Qualcomm, and said he hopes the company will expand its investment in Xi'an.

China has already become one of the fastest growing markets for Qualcomm, said Wang Xiang, president of Qualcomm greater China. "Qualcomm decided to set up its branch in Xi'an because of the city's complete industrial chain, strong technical strengths and rich talent," Wang said.

Qualcomm entered the Chinese market in the late 1990s and already has branches in Beijing, Shanghai and Shenzhen.