Tencent and Qualcomm will cooperate on several projects including the development of 5G gaming devices, and the optimization of Tencent games on Qualcomm-supported devices, according to a statement released by Qualcomm on Monday.

According to the statement, Qualcomm Wireless Communications Technologies (China) and Tencent Games have signed an MoU on a series of "comprehensive collaborations" in digital entertainment. The cooperation will include the development of mobile gaming devices based on Qualcomm's Snapdragon chipsets, and the use of AR/VR, 5G and other relevant technologies, according to the statement. 

According to Frank Meng, chair of Qualcomm China, the use of 5G technology in gaming means faster speeds, more bandwidth and "cutting edge, ultra-low latency" that will enable an immersive gaming experience for multiple players in a real-time environment.

Tencent is currently one of the biggest gaming companies globally, with a market capitalization of around $453 billion. Qualcomm is the largest provider of smartphone chipsets to power Android devices. Previously, the two tech giants already worked together on a gaming phone, according to a report by CNBC. The phone, which is paired with Republic of Games, an Asustek Computer's gaming device division, is based on a Qualcomm chip, CNBC said.