ARM HOLDINGS PLC

Name

The acronym ARM was first used in 1983 and originally stood for "Acorn RISC Machine". Acorn Computers ' first RISC processor was used in the original Acorn Archimedes and was one of the first RISC processors used in small computers. However, when the company was incorporated in 1990, what 'ARM' stood for changed to "Advanced RISC Machines". According to Steve Furber the name was changed at the behest of Apple, which did not wish to have the name of a competitor in the name of the company. At the time of the IPO in 1998, the company name was changed to "ARM Holdings", often just called ARM like the processors.

On 1 August 2017, the styling and logo were changed. The logo is now all lowercase ('arm') and other uses of the name are in sentence case ('Arm').

Founding

The company was founded on 12 November 1990 as Widelogic Limited but this was rapidly changed, on 3 December 1990, to Advanced RISC Machines Limited and structured as a joint venture between Acorn Computers, Apple, and VLSI Technology. Acorn provided 12 employees, VLSI provided tools, Apple provided a US$3 million investment (equivalent to $7 million in 2025). Larry Tesler, Apple VP was a key person and he helped recruit the first CEO at the joint venture, Robin Saxby. The new company intended to further the development of the Acorn RISC Machine processor, which was originally used in the Acorn Archimedes and had been selected by Apple for its Newton project. Its first profitable year was 1993. The company's Silicon Valley and Tokyo offices were opened in 1994. ARM invested in Palmchip Corporation in 1997 to provide system on chip platforms and to enter into the disk drive market. In 1998, the company changed its name from Advanced RISC Machines Ltd to ARM Ltd. The company was first listed on the London Stock Exchange (LSE) and Nasdaq in 1998 and by February 1999, Apple's shareholding had fallen to 14.8 per cent.

In 2010, ARM joined with IBM, Texas Instruments, Samsung, ST-Ericsson (since dissolved) and Freescale Semiconductor (now NXP Semiconductors ) in forming a non-profit open source engineering company, Linaro.

Acquisitions and divestments

Reported approach for Cerebras Systems

In May 2026, Bloomberg News reported that Arm Holdings and its majority owner, SoftBank Group, had made a preliminary approach to acquire the wafer-scale integrated circuit maker Cerebras Systems, in the weeks before Cerebras's planned initial public offering. According to the report, the approach was rebuffed.

Changes of ownership

ARM to be bought by SoftBank

Japanese conglomerate SoftBank Group made an agreed offer for ARM on 18 July 2016, subject to approval by ARM's shareholders, valuing the company at £23.4 billion (US$32 billion). The transaction was completed on 5 September 2016.

In 2017, a 25% stake of Arm was transferred to the SoftBank Vision Fund, which received investment from the Saudi sovereign fund.

Attempted acquisition by Nvidia and initial public offering

American technology company Nvidia announced plans on 13 September 2020 to acquire ARM from SoftBank, pending regulatory approval, for a value of US$40 billion in stock and cash, which would have been the largest semiconductor acquisition to that date. SoftBank Group would acquire slightly less than a 10% stake in Nvidia, and ARM would maintain its headquarters in Cambridge. There was opposition to the deal, including national security concerns from the UK and competition concerns from fellow tech companies such as Google, Microsoft and Qualcomm, whose chips in use or on sale heavily rely on Arm's intellectual property. It was also being battled by Arm China, its subsidiary, a majority stake of which was held by Chinese investors. The acquisition was initially scheduled to conclude before the end of 2022 per the contract. However, the European Commission, the UK Competition and Markets Authority and the US Federal Trade Commission raised completion concerns focusing on Arm's role within Nvidia, while the UK government also raised concerns about national security. The merger attempt was eventually cancelled in February 2022 due to the aforementioned regulatory pressure and hurdles.

Arm filed for an IPO on 21 August 2023 on the Nasdaq, rather than the LSE. A few days earlier, SoftBank Group bought back the 25% stake from Vision Fund for around $16 billion, valuing Arm at over $64 billion. Arm went public on 14 September 2023 raising $4.87 billion at a $54.5 billion valuation, with SoftBank continuing to own roughly 90% of the company following the offering.

Dispute over Arm China leadership

SoftBank Group sold more than half of Arm China in 2018 to a local consortium consisting of various parties including China Investment Corp. and the Silk Road Fund, effectively relinquishing majority ownership of its Chinese subsidiary to a group of investors with ties to the Chinese state. From 2020, discord between Arm and the effective owners of Arm China became visible after the British parent company unsuccessfully tried to oust the chief executive of the subsidiary, who, however, managed to retain his position. A prevailing view emerged that the matter would negatively affect the pending approval by the Chinese regulators of the SoftBank–Nvidia deal, as well as any public offering of Arm.

In September 2021, despite Arm's denial, reports stated that the chief executive of Arm China, whom the British parent had tried to dismiss, had publicly declared the "independence" of Arm China. In February 2022, Allen Wu, the CEO of Arm China, floated the idea of a public offering of the Chinese subsidiary in 2025.

On 29 April 2022, it was reported that the CEO and legal representative of Arm China had finally been replaced according to legally recognized filings. However, Allen Wu continued to dispute this. Subsequently, in 2023, key staff left to form their own chip design startup Borui Jingxin, which competes with Arm China, particularly for engineers.