Arm shares rise on report that Meta will buy its first chip

[Pelican Press 0]

This is the hidden content, please

• Sign In
• or
• Sign Up

Arm shares rise on report that Meta will buy its first chip

Outside view of the newly completed Meta’s

This is the hidden content, please

• Sign In
• or
• Sign Up

data center in Eagle Mountain, Utah on July 18, 2024. 

George Frey | Afp | Getty Images

Arm shares rose 5% after a Thursday report that it was developing its own chip and that it had secured Meta as one of its first customers.

The

This is the hidden content, please

• Sign In
• or
• Sign Up

report indicates that Arm is developing a new product that will compete with many of its customers. The semiconductor company currently licenses its technology, called an instruction set, as well as more complicated core designs, to its customers so they can build their own chips.

Arm has historically been known as the “

This is the hidden content, please

• Sign In
• or
• Sign Up

” of chip technology firms, a reputation it received by dealing neutrally with competing chipmakers. It counts Apple,

This is the hidden content, please

• Sign In
• or
• Sign Up

, Nvidia,

This is the hidden content, please

• Sign In
• or
• Sign Up

,

This is the hidden content, please

• Sign In
• or
• Sign Up

, Qualcomm and Intel as customers.

Meta is spending as much as $65 billion this year on capital expenditures for artificial intelligence development. While much of its spending is on Nvidia-based systems, Meta has also purchased other chips, including AMD’s competitor, and said it’s developing its own chip internally.

Arm’s chip will be a central processor for servers, according to the report, not the kind of graphics processor typically used for the heaviest AI workloads.

Nvidia tried to purchase Arm in 2020 from Softbank for $40 billion before it the deal was

This is the hidden content, please

• Sign In
• or
• Sign Up

over Arm’s key role in the chip market. Arm went public in 2023 and now has a market cap over $173 billion.

Arm shares have risen nearly 29% so far in 2025 as it’s seen as a core enabler of AI systems. Company leadership has told investors that it’s looking to sell more advanced technology to its existing customers to grow revenue.

Rene Hass, Arm’s CEO, cited billions of dollars in planned data center spending from

This is the hidden content, please

• Sign In
• or
• Sign Up

for $75 billion,

This is the hidden content, please

• Sign In
• or
• Sign Up

for $80 billion and Meta for $60 billion as an opportunity for Arm earlier this month. “No one is pulling back,” Hass said.

“No one is pulling back,” Hass said earlier this month on an earnings call.

Arm is also a technology partner of the Stargate initiative, which plans to spend as much as $500 billion building AI infrastructure for OpenAI.

Arm declined to comment, and Meta did not return a request for comment.

WATCH: Arm CEO: Stargate is an amazing opportunity for technology and innovation

This is the hidden content, please

• Sign In
• or
• Sign Up

/applications/core/interface/js/spacer.png">

This is the hidden content, please

• Sign In
• or
• Sign Up

#Arm #shares #rise #report #Meta #buy #chip

This is the hidden content, please

• Sign In
• or
• Sign Up

This is the hidden content, please

• Sign In
• or
• Sign Up

For verified travel tips and real support, visit: https://hopzone.eu/