ARM Chip Sales Sluggish in the Second Half of the Year and Recruitment Suspended

Date:2012/9/4Author:Cassidy Hu

ARM CEO Warren East said recently, due to the probable slow of the chip sales in the second half of the year, ARM has suspended the recruitment plan.

ARM chip design was used in Apple's iPhone and many other mobile products. ARM expected, the chip sales in the second half of the year would not grow substantially as last year. In the first half of this year, ARM many customers' chip sales were relatively low.

Usually, each year during the third quarter and the fourth quarter, chip sales are strong, because many consumers choose to buy tablet computers and smartphones during the Christmas holidays. This year is no exception, many new products will be published next month, including Samsung Galaxy Note tablet computer and apple iPhone 5, etc.

But East said, many people in the industry thought, because of the economic downturn, the consumer purchasing time of digital products was delayed, so the chip sales volume would not be high in the second half of the year.

ARM mainly gains revenue through collect licensing fees from manufacturers using its chip design, the company's second quarter performance surpassed analysts' expectations, it formed bright contrast compared with its rivals such as Intel and Qualcomm, the later two companies all have issued a profit warning, said that the second half of chip  sales would be very depressed.

Due to the fear of sales in the second half, so ARM suspended the recruitment plan in the second half of this year. In the past three years, due to the server and television and other fields expansion, ARM's annual recruitment was about 200 to 250 engineers.


Tags:ARM Chip, Sluggish, Recruitment, Suspend