Arm Holdings' Bold Move: Challenging Giants in the Chip Industry

Arm Holdings is strategizing to increase chip licensing prices by up to 300% and considers creating its own competing chips. Historically, the company has been a low-profile yet crucial player in chip sales. SoftBank Group's Masayoshi Son and Arm CEO Rene Haas aim to boost Arm's influence and revenue.


Devdiscourse News Desk | Updated: 14-01-2025 01:11 IST | Created: 14-01-2025 01:11 IST
Arm Holdings' Bold Move: Challenging Giants in the Chip Industry
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In a daring shift, Arm Holdings, a prominent technology supplier to chip firms, is planning to boost its licensing prices by as much as 300%. This strategic reorientation marks a significant departure from its long-standing role behind the scenes of the chip industry.

Despite contributing crucial intellectual property to major firms like Apple, Qualcomm, and Microsoft, Arm's revenue remains dwarfed by its customers. Recent revelations from a trial showcase the company's ambitious plans to alter its business model and possibly enter the chip-design market itself.

The push comes as Arm executives hint at making more comprehensive chip designs, a move that could disrupt relationships with existing clients. These developments come amidst ongoing tensions and strategic adjustments following SoftBank's acquisition of Arm in 2016.

(With inputs from agencies.)

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