X

ARM profits ride smartphone, tablet surge

A 35 percent rise in profits coincides with a big increase in ARM-processor-based shipments "driven by growth in smartphones, tablets, digital TVs, and microcontrollers."

David Meyer Special to CNET News.com

Pretax profits at the British chip architecture firm ARM Holdings have gone up by more than a third in the last year, the company reported today.

According to ARM's quarterly results, pretax profits stood at 50.8 million pounds ($83.7 million) in the first quarter of 2011, with revenues at 116 million pounds ($185.5 million)--a year ago, those figures were 37.6 million pounds and 92.3 million pounds, respectively. According to chief executive Warren East, the 35 percent profit rise coincided with a 33 percent increase in ARM-processor-based shipments "driven by growth in smartphones, tablets, digital TVs and microcontrollers."

The architecture of ARM is found in almost every mobile phone and tablet, due its low power requirements. The company does not make chips itself, but licenses its architecture to other manufacturers such as Samsung and Texas Instruments.

Yesterday, ARM also announced that LG has become a licensee of its architecture for new Cortex processors and Mali graphics processing units.

Read more of "ARM profits from smartphone and tablet market growth" at ZDNet UK.