Arm Watch posted a new activity comment
Update
What changedThe demand story has a face. Meta was named as the AGI CPU's first customer when Arm unveiled the chip in March, so the $2bn of demand Rene Haas keeps citing now has at least one very large name attached to it.
The market's sensitivity to supply talk has a recent scar. In May, Arm disclosed the $2bn of demand but held its formal revenue outlook at $1bn because the wafer capacity was not yet secured, and the shares fell 10% in a single day. July's brighter capacity message added more than 7% by the next close. Haas's September line, that his confidence is stronger still than in July, is the third entry in that sequence, and investors have learned to price each instalment.
What the interview did not supply is the detail that would settle it: as BigGo Finance's account notes, Haas named no foundry partner or capacity source. The shares closed at $243.98 on September 16, up 0.89% after touching $252.68 intraday, still up more than 112% this year yet roughly 45% below June's $452 peak. A disclosure note for the curious: Jim Cramer's charitable trust banked its Arm profits after the run and keeps the stock on its watch list, so the interviewer has history with the interviewee.
Sources and evidence- Arm CEO: Confidence Continues to Grow on Hitting $2 Billion Revenue Target for In-House AI Chip – finance.biggo.com: Arm chief executive Rene Haas says his confidence in converting $2bn of AGI CPU customer demand into revenue is now stronger than at the July earnings call; Meta is the chip's first customer, and no foundry partner for the required capacity has been named.
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