Nvidia<\/a> and its Vera processor, helped the company report higher-than-expected revenue, Haas said. Qualcomm also launched its C1000 data center chip, which does \u2060not contribute to Arm revenue now but will in the future, he said. <\/p>\nHaas said the company has shipped 1.5 billion Arm cores for the data center \u2014 an important data-crunching portion of each chip \u2014 in the last six years, but about 30% were shipped in the last nine months. <\/p>\n
“Growth is accelerating,” Haas said. <\/p>\n
Revenue \u200bfrom \u200broyalties rose 22% to $715 million in the first quarter, while licensing revenue increased \u200b23% to $574 million. <\/p>\n
The company’s spending plans and forecast remain unchanged, \u200cfinance chief Jason Child said during a conference call on Wednesday. <\/p>\n
Arm expects smartphone royalties to drop next quarter and forecast second-quarter growth of roughly 10% and 15%, Child said. <\/p>\n
POWER-EFFICIENT DESIGNS <\/p>\n
Arm’s chip designs are prized for their power efficiency, a critical advantage for data center operators looking to manage the soaring energy costs and heat generated by running massive AI models. <\/p>\n
Its AGI CPU, a new AI data center chip unveiled in March, is exceeding initial expectations, with demand surpassing $2 billion across fiscal years 2027 and 2028, the company said. It has already delivered the product to multiple \u200ccustomers. <\/p>\n
Cloud firm Oracle has agreed to buy the new chip, Haas said. The \u200bCEO did not disclose the contract value. <\/p>\n
“We have new customers in North America and \u200bChina,” Haas said, adding that the company can now secure supply \u200bfor more than $1 billion worth of chips. <\/p>\n
“I feel better about (supply) than I did 90 days ago,” he said. <\/p>\n
Jefferies \u200canalysts forecast sales of the new chip reaching $18 billion in \u200bfiscal 2031, surpassing the chip designer’s \u200bown projection of $15 billion. Haas said the company was not changing any forecasts on Wednesday. <\/p>\n
Arm projected second-quarter revenue of $1.38 billion, above analysts’ average estimate of $1.34 billion, according to data compiled by LSEG. <\/p>\n
The British chip designer expects second-quarter profit of 47 cents per share, adjusted \u200bfor stock compensation, among other things, compared with \u200canalysts’ expectations of 43 cents per share. <\/p>\n
The company reported revenue of $1.29 billion and adjusted per-share earnings of 45 cents for \u200bthe first quarter. Analysts expected revenue of $1.26 billion and adjusted profit of 40 cents a share. <\/p>\n
(Reporting by Juby Babu in \u200bMexico City; Editing by Sahal Muhammed and Rod Nickel and David Gregorio) <\/p>\n","protected":false},"excerpt":{"rendered":"By Juby Babu and Max A. Cherney July 29 (Reuters) – Arm Holdings signaled strong demand from AI…\n","protected":false},"author":2,"featured_media":717986,"comment_status":"","ping_status":"","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[20],"tags":[554,86224,733,4308,10774,13108,195592,86,56,54,55],"class_list":["post-717985","post","type-post","status-publish","format-standard","has-post-thumbnail","category-artificial-intelligence","tag-ai","tag-arm-holdings","tag-artificial-intelligence","tag-artificialintelligence","tag-data-center","tag-intellectual-property","tag-rene-haas","tag-technology","tag-uk","tag-united-kingdom","tag-unitedkingdom"],"_links":{"self":[{"href":"https:\/\/www.newsbeep.com\/uk\/wp-json\/wp\/v2\/posts\/717985","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.newsbeep.com\/uk\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.newsbeep.com\/uk\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/uk\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/uk\/wp-json\/wp\/v2\/comments?post=717985"}],"version-history":[{"count":0,"href":"https:\/\/www.newsbeep.com\/uk\/wp-json\/wp\/v2\/posts\/717985\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/uk\/wp-json\/wp\/v2\/media\/717986"}],"wp:attachment":[{"href":"https:\/\/www.newsbeep.com\/uk\/wp-json\/wp\/v2\/media?parent=717985"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.newsbeep.com\/uk\/wp-json\/wp\/v2\/categories?post=717985"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.newsbeep.com\/uk\/wp-json\/wp\/v2\/tags?post=717985"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}