Arm Surpasses $300B Valuation, Boosts AI Chip Market Acquisition Potential

Arm Holdings has reached a market capitalization of over $300 billion, marking a significant milestone for the company. This valuation surge is expected to boost Arm's acquisition potential in the AI chip market.

The AGI CPU, launched by Arm in March 2026, represents a decisive break from its licensing model. The company is now selling its own chip targeting inference workloads in data centers, and customer demand has been aggressive. Oracle has signed on as a notable partner, and leading hyperscalers across both North America and China have expressed interest.

Arm's management projects $15 billion in annual AGI CPU revenue by fiscal 2031, with total revenue reaching $25 billion and non-GAAP earnings per share exceeding $9. The company has completed 26 acquisitions to date, and its valuation now allows it to pursue larger targets.

SoftBank holds approximately 87% of Arm's outstanding shares, making the $300 billion valuation a vindication of its $32 billion investment in 2016. Analysts are optimistic about Arm's prospects, with Bernstein issuing an 'Outperform' rating and a $300 price target.