While Apple is indeed a major customer for Qualcomm considering that Qualcomm's baseband modems power the iPhone and some of the iPads as well, we believe that the market sell-off was irrational for the following reasons. With the smartphone market growing at impressive rates, Apple's market share loss could very well be Android's or Windows Phone's gain - both of which have a big Qualcomm presence. Moreover, with most rival smartphone makers going with third-party app processors such as Qualcomm's instead of building their own (unlike Apple which uses only its baseband), it might even work to Qualcomm's advantage.