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Thursday, 31 July2025

Arm Explores Building Its Own Chips as Stock Drops 8% on Soft Q2 Outlook

Arm Explores Building Its Own Chips as Stock Drops 8% on Soft Q2 Outlook
Arm Holdings, traditionally a chip-architecture licensor, has unveiled plans to invest in designing and selling its own chipsranging from modular chiplets to full systemsmarking a major strategic pivot under CEO Rene Haas. This ambitious shift comes amid trade tensions and a weak smartphone royalty market. Meanwhile, its Q1 sales reached $1.05 billion (up 12% YoY), but a softer-than-expected Q2 profit forecast triggered an 8% after-hours stock decline.

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