Exclusive-Arm estimates a 14-fold increase in data center customers since 2021, company says
SAN FRANCISCO (Reuters) -The number of customers that use Arm-based chips in data centers has grown to 70,000, a 14-fold increase since 2021, the company told Reuters.
Under the guidance of Chief Executive Rene Haas, chip technology maker Arm has been working to expand its business into the PC market and has made substantial gains selling its architecture for data center chips as well.
Like other chip companies, Arm has benefitted from the frenzy around generative artificial intelligence computing and said a significant portion of its data center growth is due to AI. The company said it had seen a 12-fold spike in startups that are using Arm chips from 2021.
Arm's strong outlook arrives as the chip industry faces near term challenges. While chips related to building AI data centers have boomed, other large swaths of the semiconductor market such as PC and mobile sales have remained slow.
The company declined to provide annual financial guidance due to trade uncertainty when it released results in May.
Chips based on the Arm architecture are known for delivering high performance with low energy consumption, which is one of the reasons it powers just about every mobile phone on the planet. Such performance has been adapted by chip designs for data center processors, which typically consume substantially more energy.
The data center market earlier proved difficult for Arm to break into, but the company has more recently been aided by cloud computing giants such as Amazon, Alphabet's Google and Microsoft developing home-grown Arm chips for use in their sprawling infrastructure.
Customers often rent Arm-based chips through a cloud computing company such as Amazon's AWS.
Amazon has rolled out several generations of its data center processor (CPU) since 2018, including artificial intelligence versions, and added millions Arm-based chips to its cloud computing platform.
But SoftBank-owned Arm has made big gains in other areas as well, as it seeks to erode the computing dominance of designs from Advanced Micro Devices and Intel, based on the x86 architecture.
The group of developers worldwide working to make apps that run its tech is crucial to a chip company's success.
According to the company, Arm has roughly doubled the number of applications since 2021 running on Arm-based machines to 9 million. The developer base working with the company's computing architecture has increased by 1.5 times to 22 million since 2021.
(Reporting by Max A. Cherney in San Francisco; Editing by Sonali Paul)
Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
The Star
an hour ago
- The Star
'Smarter, faster and safer.' Why many workplaces are embracing virtual reality
Picture this: you work in a warehouse and need to bring a part to the other side of the building. The floor of the warehouse is marked with pedestrian pathways for safety, but you see a shortcut and decide to take it – without looking both ways. Suddenly, the perspective flips and through a headset you see the image of your virtual avatar struck by a passing forklift. Thankfully, nobody is actually hurt. This was all a virtual reality simulation for workplace pedestrian safety training. 'Having that immediate visual representation of what negative can happen if you don't follow these rules … is definitely making an impact when it comes to people reducing injuries on the job,' said Annie Eaton, CEO of Futurus, the VR production company that made this simulation. Workplaces across many industries are using virtual reality in a variety of ways to improve training, enhance safety and reduce costs. 'Immersive tech is helping companies work smarter, faster and safer,' said Adam Kornuth, Atlanta chapter president and global generative artificial intelligence co-chair for the Virtual Reality Augmented Reality Association. Practical applications Researchers at the University of Georgia created VR Co-Lab to train recycling employees to work with robots to disassemble electronics without damaging materials or getting injured. 'Humans can't get hurt in a virtual environment,' said Beiwen Li, study author and associate professor in UGA's College of Engineering. While working with robots can ease complex tasks, training employees to become comfortable with the machines can be time consuming and difficult, according to Li. VR Co-Lab tracks how long the task takes and how many mistakes are made, providing feedback to help workers adjust to the movements of the robot arm. 'The VR environment is providing a more immersive experience,' Li said. 'It is typically much better than just having the workers just read the manuals.' Li knows there is vast potential for VR-based training, something companies like Futurus are already embracing. Futurus is an Atlanta-based VR production company that specializes in creating simulated training content for experiences that are costly, unsafe or hard to teach without hands-on experience. According to Eaton, common benefits include increased retention of the material, increased efficiency and decreased training time. Futurus has worked with multiple companies, including designing 3D models for Children's Healthcare of Atlanta's latest hospital campus, simulating deicing training for Delta Air Lines employees to allow year-round practice and creating a multiplayer classroom for employees of candy maker Mars Wrigley to become familiar with machinery. Georgia-Pacific also uses VR designed by Futurus to train employees on safety protocols, such as what to do near forklifts in a warehouse. 'Within that space, the experience is designed to provide the employee with a sense of unease when necessary,' a news release from Georgia-Pacific said. 'It allows the person to experience a 'bad day' in a safe environment and develop muscle memory on important safety steps they might otherwise have to read about or wait to do once they're on the job.' Other common benefits of VR include decreased costs and better, data-informed decision making, Kornuth said. 'There is so much opportunity for all kinds of training to happen in virtual environments,' said Maribeth Gandy Coleman, research director of the Georgia Institute of Technology's Institute for People and Technology. Georgia Tech, which recently joined the ranks of the virtual reality association's 60,000 members across 50 chapters, has a long history of VR research. Manufacturers were among the first to embrace this technology and are still among the most frequent users, according to Coleman. Eaton said sectors with clear and high returns on investment, such as manufacturing, seem to be leading the charge. 'There's just a lot of opportunity, whether it is machine operator training, maintenance and troubleshooting training or just general safety,' Eaton said. Both Eaton and Coleman emphasised that good VR design is more than just looks. Talking to subject matter experts to ensure everything is accurate to real-life functionality is paramount, especially for training to be effective. 'You don't just build a cool-looking virtual environment,' Coleman said. 'What does the person need to learn, what are the key skills? Just floating around a virtual environment, you're not going to learn anything.' – The Atlanta Journal-Constitution/Tribune News Service
The Star
an hour ago
- The Star
Pakistan suspends mobile data service in restive province
FILE PHOTO: Pakistan army soldiers stand at a tunnel where the Jaffar Express train was attacked by separatist militants, in Bolan, Balochistan, Pakistan, March 15, 2025. - Reuters QUETTA, Pakistan: Pakistan has suspended cell phone data services for three weeks in the restive south-western province of Balochistan in a bid to block communications among separatist insurgents behind a surge in recent attacks, an official and the government said. Separatist militants demanding a bigger share of profits from the resources of the mineral-rich province have stepped up attacks in recent months, particularly on Pakistan's military, which has launched an intelligence-based offensive against them. In an order on Wednesday (Aug 6) seen by Reuters, the government said the services would be suspended until the end of the month because of the law and order situation in the province, home to key Chinese Belt and Road projects. "The service has been suspended because they (militants) use it for coordination and sharing information," Shahid Rind, a spokesperson for the provincial government, said on Friday. Officials said there are 8.5 million cell phone subscribers in Balochistan, Pakistan's largest province by size, which borders Afghanistan and Iran. But it is thinly populated, with just 15 million from a national population of 240 million. The news follows Pakistan's ban on road travel to Iran late last month, citing security threats. The insurgency by the separatists, who accuse Pakistan's government of depriving them of their share in regional resources, has roiled the province for decades. They primarily attack Pakistani military or Chinese nationals and their interests, but have recently started targeting senior army officers. The military said an officer and two soldiers were killed in a roadside blast set off by the militants on Tuesday. The attack targeting a vehicle was claimed by the Baloch Liberation Army (BLA), the strongest of the area's insurgent groups, which has also claimed responsibility for several attacks on senior officers in recent weeks. The region is home to the Gwadar Port, built by Beijing as part of a US$65-billion investment in Pakistan in the Belt and Road programme designed to expand China's global reach. Islamabad accuses arch-rival India of funding and backing the insurgents in a bid to stoke instability, as Pakistan seeks international investments in the region, a charge New Delhi denies. In March, the BLA blew up a railway track and took hostage more than 400 train passengers in an attack that killed 31, including 23 soldiers. - Reuters
BusinessToday
2 hours ago
- BusinessToday
Nasdaq Hits Another Record As Tech Surge Lifts Wall Street
US stocks ended higher on Aug 8, with the Nasdaq Composite closing at a record high for the second straight day as technology shares rallied and optimism grew over potential interest rate cuts, Reuters reported. The Nasdaq climbed 207.32 points, or 0.98%, to 21,450.02 — its 18th record close of the year — while the S&P 500 rose 49.45 points, or 0.78%, to 6,389.45, just shy of its own record. The Dow Jones Industrial Average added 206.97 points, or 0.47%, to 44,175.61. All three major indexes posted solid weekly gains: S&P 500 up 2.4%, Dow up 1.3%, and Nasdaq up 3.9%. Apple Inc shares jumped 4.2% on Aug 8 and 13.3% for the week, marking their best weekly performance since 2020. The rally followed President Donald Trump's announcement that Apple will invest an additional US$100 billion in the US, bringing its total planned commitment to US$600 billion over four years. The S&P 500's technology and communication services sectors led the advancement on Aug 8, both ending at record highs. Gilead Sciences surged 8.3% after raising its full-year outlook, while Expedia gained 4.1% on upgraded revenue and bookings guidance. Weaker US economic data has bolstered bets on Federal Reserve (Fed) rate cuts. According to CME's FedWatch Tool, traders see an 89.4% chance of at least a 25-basis-point cut in September, up from 80.3% a week ago, with two cuts expected by year-end. Investor focus also turned to Trump's nomination of Council of Economic Advisors Chair Stephen Miran to a short-term Fed board seat after Adriana Kugler's abrupt departure. Looking ahead, markets face a key test with Aug 12's Consumer Price Index report, while geopolitical tensions persist after India shelved planned US arms and aircraft purchases in response to higher tariffs.
