Arm reported its fourth consecutive quarter with over US$1.2 billion in revenue for Q3 FY2026, ending December 31, 2025.

Revenue rose 26% year-on-year, with royalty income rising 27% to a record US$737 million, driven by growth in AI, data centers, and smartphones.

License and other revenue grew 25% to US$505 million as more companies signed high-value licenses for next-generation technologies.

Demand for Arm Compute Subsystems (CSS) exceeded expectations, with 21 licenses across 12 companies, and five customers now shipping Arm CSS-based chips.

Major vendors like AWS, NVIDIA, and Microsoft launched new products with Arm CPUs, with Arm-based chips now surpassing one billion cores deployed.

The company highlighted its role in supporting AI, data centers, and physical AI applications, including Rivian’s upcoming autonomous vehicle computer and Tesla’s upcoming humanoid robot.

🔗 Source: Arm

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