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Arm Begins Producing In-House Server CPU Chips With Meta as First Customer

lite News Desk 2 min read

At a glance

  • Arm has started manufacturing its own server CPU chips
  • Meta is confirmed as the initial customer for Arm’s new chip
  • The chip is expected to be unveiled in summer 2025

Arm has shifted from its traditional licensing-only business model by beginning production of its own server CPU chips, with Meta confirmed as the first customer for these processors.

This development places Arm in direct competition with some of its existing clients, such as Qualcomm, and signals a new stage in Arm’s involvement in AI and data center infrastructure projects.

The in-house server CPU chip is scheduled for an unveiling as early as summer 2025, according to information published by industry media. Arm’s move is supported by its parent company SoftBank, which is financing related AI infrastructure initiatives in the United States.

Arm is also working on a custom AI XPI ASIC for OpenAI and a custom server CPU likely intended for Meta, indicating increased engagement with large-scale AI infrastructure projects.

What the numbers show

  • Arm’s in-house chip is expected to be introduced in summer 2025
  • Meta is identified as the first customer for the new chip
  • Arm’s parent company SoftBank is financing the Stargate AI project

Reports indicate that Arm’s new processor will be manufactured by a contract fabrication company, such as TSMC. The company’s involvement in OpenAI’s Stargate AI infrastructure project is also noted in industry coverage.

SoftBank’s Stargate project, which includes participation from OpenAI, Microsoft, and NVIDIA, is intended to support advancements in AI infrastructure. This backing may accelerate Arm’s chip development cycle, according to published reports.

Arm’s entry into chip manufacturing represents a shift from its previous approach of only licensing designs to third parties. The new strategy involves direct production and supply of server CPUs to customers like Meta.

By manufacturing its own chips, Arm is now competing with companies that previously relied on its designs, including Qualcomm. This change is part of a broader set of activities involving custom hardware for AI and data center applications.

* This article is based on publicly available information at the time of writing.

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