British microchip designer, ARM, has announced a 22% rise in profits from the first quarter of 2011 at £50.7m to £61.9 in the first quarter of 2012. The company, which designs chips for mobile devices and licenses the intellectual property to consumer electronics companies such as Apple, also reported rising revenues, from £185.5m in Q1 2011, to £209.4m in Q1 2012.
ARM began life as Acorn, the company that produced the BBC Micro. This innovative machine enjoyed massive popularity in schools in the late ‘80s and early ‘90s. After a series of iterations, buyouts and gradual evolution, Acorn no longer exists, but its descendant, ARM, is now a stalwart of the global electronics industry, and more than one billion ARM-designed chips were shipped by manufacturers in the last 12 months alone.
ARM’s CEO, Warren East, said: "ARM's royalty revenues continued to outperform the overall semiconductor industry as our customers launch their products into new markets and gain market share within existing markets."
ARM’s chips are based on its proprietary RISC technology, and their small size and low power consumption make them perfect for today’s powerful smart phones.
MT reckons it’s worth celebrating a British firm making headway on the international technology scene. The market is fiercer than ever, and this Cambridge veteran is at the top table in the design stakes. But with results like these, how long before ARM faces a takeover bid? The rumours are bound to start flying again…