Arm aims to capture 50% of PC market in five years, CEO says

Asustek Computer

03/06/2024 13:19

(Adds share move in paragraph 2)
    By Max A. Cherney
       TAIPEI, June 3 - Arm Holdings  ARM.O  aims to gain more
than 50% of the Windows PC market in five years, the chip
designer's CEO said, as Microsoft  MSFT.O  and its hardware
partners prepare to launch a new batch of computers based on the
British firm's technology.
    Arm's U.S.-listed shares climbed 2.6% in pre-market trade on
Monday.
    Demand for use of Arm's technology in personal computers got
a boost after Microsoft unveiled ambitious plans last month to
launch a new breed of PCs with artificial intelligence features
to compete with Alphabet  GOOGL.O  and Apple  AAPL.O . 
    Its flagship Windows operating system will now run on chips
designed by Arm, whose technology powered the rise of
smartphones. Chips made by Intel  INTC.O  have dominated the PC
industry for decades and if the Arm push succeeds, it would
reorder the market.
    "Arm's market share in Windows - I think, truly, in the next
five years, it could be better than 50%," CEO Rene Haas told
Reuters in an interview.
    Microsoft has made a significant commitment to ensure its
alternative technology to Advanced Micro Devices  AMD.O  and
Intel's x86 technology is embraced by consumers, building a
suite of software developer tools to make it possible to produce
programs that function on Arm-based chips.
    "They've (Microsoft) gone way beyond anything they had (in
developer tools) and they really picked it up in the last couple
of years," Haas said. "They are very, very much committed from a
software standpoint."
    Microsoft and hardware vendors are following in Apple's
footsteps. The company has seen success from its introduction of
Arm designs. It has sold machines with its "M Series" processors
for roughly four years and those chips offer long battery life
and speedy performance.
    Qualcomm  QCOM.O  has designed the first Arm-based chip to
introduce consumers and businesses to the new Windows-based Arm
machines, but other vendors will follow, Haas said.
    Microsoft also has a battery of device makers signed on to
sell machines with the Arms-based system such as Asus  2357.TW 
and Dell Technologies. 
     

 (Reporting by Max Cherney in Taipei; Editing by Emelia
Sithole-Matarise and Jan Harvey)
 ((max.cherney@thomsonreuters.com; 415-404-2697; @chernandburn
on Twitter/X))