Arm Q3 revenues climb 14% y-o-y

Royalty revenue of $470 million grew 11% year-over-year driven by the semiconductor industry recovery and the rapidly increasing penetration of Armv9-based chips, which typically command a higher royalty rate.

Better than expected license revenue of $354 million,up 18% year-over-year, and strong bookings were due to strong demand for more advanced Arm CPUs as companies increase investment in AI across all end markets.

“Arm delivered another quarter of record revenues driven by continued adoption of the world’s most pervasive compute platform," said Rene Haas (pictured), Arm CEO. “More customers moving to higher-value Armv9 technology combined with market share gains in cloud server and automotive resulted in strong royalty growth.The AI wave drove licensing growth as these new devices require Arm’s performant and power-efficient compute platform."