Arm Holdings Reports Record Revenue and Key Role in $100B Stargate AI Project

The chip designer's earnings beat expectations, while its advanced technology underpins major AI infrastructure initiatives with OpenAI and Oracle.

Arm Holdings reported third-quarter revenue of $983 million, a 19% year-over-year increase, surpassing analyst estimates of $946.7 million.
The company confirmed its central involvement in the $100 billion Stargate AI infrastructure project, which includes a massive data center in Texas and partnerships with OpenAI, Oracle, and SoftBank.
Arm's latest Armv9 architecture, featuring higher royalty rates, contributed significantly to its record royalty revenue of $580 million, a 23% rise year-over-year.
Despite strong earnings, Arm's stock fell 6% in after-hours trading as its fourth-quarter revenue forecast, with a midpoint of $1.23 billion, aligned with but did not exceed expectations.
Arm's technology remains integral to smartphones and data centers globally, while its collaboration with NVIDIA on AI supercomputing further cements its role in advancing AI innovation.