More than likely you have heard by now of the company ARM whose processors are found in most smartphones and mobile phones on the market. The company announced the other day that it recorded a 75% increase in profit as a result of the collaboration it has with Apple regarding the licensing of the processor used in the A4 chip in the iPad, iPhone 4, iPod Touch 4G and Apple TV 2G . The company also licenses products for other manufacturers of mobile terminals, but Apple is the main reason for this growth and as the situation shows, ARM will continue to grow this year because Apple could use ARM processors in the iPad 2, iPhone 5, iPod Touch 5G , etc.
"ARM continues to sign licenses with influential market leaders in an increasingly digital world, and as the industry chooses ARM technology in a broadening range of electronic products, it further drives our long-term royalty opportunity," said ARM Chief Executive Officer Warren East. "The growth in licensing and royalty revenues, throughout 2010, has combined to deliver our highest ever annual revenues, profits and cash generation." "It's hard to see what could have been better in this set of results. We've had a record in terms of earnings, and a record backlog up 75pc [compared with last year]," said East, adding that ARM had outperformed the semiconductor industry and expects to continue to outperform in 2011 as well.
ARM is a British company founded by Apple together with 2 other companies, but in 2001 Apple had to give up its share of participation in ARM in order to recover its financial situation.
