ARM’s chip licensing revenue is growing at a rapid pace

ARM Holdings’ chip licensing business continues to grow, the company said, reporting year-on-year increases in second-quarter profit and revenue. Revenue for the quarter totaled £187.1 million (US$309.6 million) for the quarter, up from £171.2 million a year earlier, according to International Financial Reporting Standards. Profit rose to £68 million from £15 million a year earlier. During the quarter, the company signed 41 additional processor licenses, for applications including mobile computing, consumer electronics and embedded intelligent devices, taking the total number of licenses over 1,100. The company does not manufacture or sell chips itself, making its money from licensing its processor core designs to other companies for inclusion in their chips, and from per-chip royalties for devices manufactured using its technology.