Arm, a subsidiary of SoftBank Group, currently intends to enter the AI ​​chip market with finished products expected to launch next year.

Nikkei Asia said the above plan is part of a $64 billion investment strategy initiated by SoftBank CEO Masayoshi Son, with the ambition to make Arm a leading chip supplier for data centers. , robotics and other AI applications.

Arm will establish a separate AI chip unit and plans to launch its first products in the spring of 2025, and begin mass production in the fall of the same year. SoftBank is in discussions with contract manufacturers, including Taiwan's TSMC, to produce AI chips.

Arm is famous for designing the underlying architecture for chips, then licensing them to companies like Qualcomm and Nvidia. Most high-end smartphones today use Arm technology.

The global AI chip market is forecast to reach $383.7 billion in 2032, up from $14.9 billion in 2022, driven by growing demand for high-performance AI chips.

SoftBank will have to compete with other major AI chipmakers, including Nvidia, which currently dominates the market. However, Arm believes that its high-performance and energy-efficient technology will gain significant market share in this rapidly growing AI market.

Arm shares are up nearly 58% this year, bringing its market capitalization to more than $113 billion. The launch of this new AI chip could solidify Arm's position as a leading innovator in the semiconductor industry and drive further growth for SoftBank.