Xiaomi has enjoyed a rapid rise with handsets it touts as cheaper but well-designed alternatives to Apple Inc's  iPhones.

Shares of Qualcomm rose 3.6 percent to USD51.07 in pre-market trading yesterday.

Qualcomm said in November that it was facing delays in closing new licensing agreements in China and some Chinese customers were 'improperly withholding' royalties on Qualcomm's patents by changing the way they report sales.

Up to Tuesday's close, Qualcomm stock had lost nearly a third of its value this year.