EL7.AI
StocksMediumUpdated×6•Originally published 24 March 2026•Updated 25 March 2026•
1 min read

Arm Holdings to Launch Own AI Chips in Major Strategic Shift

Key Facts

1Arm Holdings plans to sell its own computer chips, a departure from its traditional business model of only licensing designs.
2The company will focus its new production on chips specifically designed for artificial intelligence.

Arm Holdings is preparing to manufacture its own computer chips, naming the new processor the "AGI CPU," marking a significant departure from its traditional licensing model. Following the announcement and positive revenue guidance, the company's stock surged 15.8% to $156.36, its best single-day performance in a year. ARM is now positioning itself as a frontrunner in the 'Agentic AI' revolution, leveraging its new in-house chip manufacturing as a primary technological catalyst. The company projects that this new division will generate approximately $15 billion in revenue by 2031, with Meta Platforms already identified as the flagship launch customer. This strategic pivot reflects SoftBank Group's broader ambition to capture a larger share of the AI data center market and challenge Nvidia's dominance.