Arm CEO Rene Haas talks about how demand for his company’s chip architecture led to record profits on Thursday’s “The Claman Countdown.”
Arm Holdings Inc. CEO Rene Haas said Thursday that the company beat Wall Street’s profit and revenue expectations and offered a positive outlook, driven by demand for the company’s services thanks to artificial intelligence. As a result, the chip design company’s stock posted its biggest single-day jump on record, marking a victory.
In an interview on FOX Business’ “The Craman Countdown” ahead of the closing bell, Haas credited his company’s success to plans he made several years ago to expand beyond the smartphone market and into data centers and the automotive space. He said that.
Arm Holdings CEO Rene Haas holds the Opening Bell Crystal on September 14, 2023 at the Nasdaq Marketsite in New York City. (Michael M. Santiago/Getty Images)
“What we’re seeing now is that it’s really paying off,” Haas said. “We’re gaining market share in these areas, where Arm technology is being used more and more, but when you bring AI into it, the need for ‘computing’ becomes almost insatiable. It seems to be.”
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Arm is a chip architect that provides core technology to companies such as Apple and AI chip giant Nvidia. The company, which sells blueprints and other intellectual property to create the computing chips found in most of the world’s cell phones, has successfully diversified its business.
Arm Holdings US headquarters in San Jose, California. (David Paul Morris/Bloomberg/File/Getty Images)
Haas said AI is now “ubiquitous” and this “bodes well for our growth.”
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The CEO said Arm is attracting new customers across industries, with the company’s technology now being used in both Tesla and Ford, Ring’s smart cameras and even LG’s home appliances. “We’re moving into a lot of areas that people don’t think about,” he said. He added that he can’t think of any car company at this point that isn’t using Arm technology.
| ticker | safety | last | change | change % |
|---|---|---|---|---|
| arm | Arm Holdings PLC | 113.89 | +36.88 | +47.89% |
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Arm’s rise represents a dramatic turnaround from its first month going public in late 2023, when its stock price fell. The company’s stock lost 26% of its value within a month of going public on Sept. 14, but has since risen nearly 90% to $120.80 on Thursday.
Reuters contributed to this report.
