Arm's AI chips could dominate data centers, leaving smartphones behind
Arm, the chip design giant behind much of today's tech, is on track to claim nearly 50% of hyperscale data-center server shipments within a couple of years (around 2028).
With data-center royalties doubling and over 300 billion chips shipped, Arm is moving beyond smartphones and betting big on AI infrastructure.
Arm's new architecture is driving record royalties
Arm's new v9 architecture is almost twice as profitable as its old version, helping royalties hit record highs.
Their Compute Subsystems make it easier and faster for companies to build custom chips—over a billion Neoverse cores are already out there, tripling revenue per chip.
Arm's AI focus could boost revenue significantly
Big names like Amazon (Graviton4), Google (Axion), and NVIDIA are already building their AI CPUs on Arm's designs.
Even though mobile still brings in steady cash, analysts expect Arm's AI focus to boost revenue by over 20%, with some predicting the stock could hit $173 in the coming years.
For anyone following where future tech is headed, Arm's rise is tough to ignore.