Budapest Post

Cum Deo pro Patria et Libertate
Budapest, Europe and world news

Arm opts for New York stock listing in blow to London

Arm opts for New York stock listing in blow to London

British microchip designer Arm says it will not pursue a London stock exchange listing this year.

The Cambridge-based firm designs the tech behind processors - commonly known as chips - that power devices from smartphones to game consoles.

Reports in January said Prime Minister Rishi Sunak had restarted talks with Arm's owner, Japanese investment giant SoftBank, about a possible UK listing.

Arm says it decided a sole US listing in 2023 was "the best path forward".

Chief executive Rene Haas said in a statement: "After engagement with the British Government and the [Financial Conduct Authority] over several months, SoftBank and Arm have determined that pursuing a US-only listing of Arm in 2023 is the best path forward for the company and its stakeholders."

He added the company will consider a UK listing "in due course".

Listing a firm on a stock exchange takes it from being a private to a public company, with investors able to buy and sell shares of a company's stock on specific exchanges.

Arm's decision not to pursue a listing on the London Stock Exchange this year has raised concerns that the UK market is not doing enough to attract tech company stock offerings, with US exchanges seen to offer higher profiles and valuations.

SoftBank Group Corp's founder and chief executive Masayoshi Son said last year he would probably look to the tech-heavy Nasdaq exchange for a potential Arm listing.

Arm had a dual listing on the London stock exchange and the Nasdaq for 18 years, before it was bought by SoftBank for $32bn (£26.7bn) in 2016.

Mr Haas said Arm is increasing its UK presence and headcount, including opening a new site in Bristol, and will keep its material intellectual property, headquarters and operations, in the UK.

"Arm is proud of its British heritage, and continues to work with the British Government," he said. "We will continue to invest and play a significant role in the British tech ecosystem."

A Government spokesperson said: "The UK is taking forward ambitious reforms to the rules governing its capital markets, building on our continued success as Europe's leading hub for investment, and the second largest globally."

They added the UK "continues to attract some of the most innovative and largest companies in the world" and acknowledged Arm's commitment to its UK presence with more jobs and investment.


'Crown jewel'


Sometimes referred to as the "crown jewel" of the UK's technology sector, Arm was founded in Cambridge, England, in 1990.

Its chip design instructions and technologies are used by manufacturers like the Taiwan Semiconductor Manufacturing Company and companies like Apple and Samsung to construct their own processors.

According to its latest quarterly filing, the company has shipped more than 250 billion Arm-based chips to date, and reported revenue up 28% on the same period last year.

Efforts by SoftBank to sell Arm to graphics card giant Nvidia collapsed last year as competition regulators in the UK, US and Europe probed whether the deal would push up chip prices and reduce choice.


'Significant blow'


Russ Shaw CBE, founder of Tech London Advocates and Global Tech Advocates, said Arm's statement offered "glimpses of hope" for its commitment to its British roots, but Arm and SoftBank's decision to opt for a sole US listing is "a significant blow to the UK tech sector".

Mr Shaw said it is also "disappointing news for the London Stock Exchange and the heritage and future of the UK semiconductor industry".

He is among UK tech leaders who have called on the government to publish its semiconductor strategy to support British companies operating in the chip industry and supply chain.

He added Arm's decision "must be upheld as a case study for the UK Government of how 'not to do it'" - citing the company's sale to SoftBank in 2016 as a factor determining its US-only listing.

"Nations like the US and China that recognise the strategic value of chip companies would not have allowed such decisions to be made - then or now - and the UK must now endeavour to proactively protect its semiconductor industry," said Mr Shaw.

AI Disclaimer: An advanced artificial intelligence (AI) system generated the content of this page on its own. This innovative technology conducts extensive research from a variety of reliable sources, performs rigorous fact-checking and verification, cleans up and balances biased or manipulated content, and presents a minimal factual summary that is just enough yet essential for you to function as an informed and educated citizen. Please keep in mind, however, that this system is an evolving technology, and as a result, the article may contain accidental inaccuracies or errors. We urge you to help us improve our site by reporting any inaccuracies you find using the "Contact Us" link at the bottom of this page. Your helpful feedback helps us improve our system and deliver more precise content. When you find an article of interest here, please look for the full and extensive coverage of this topic in traditional news sources, as they are written by professional journalists that we try to support, not replace. We appreciate your understanding and assistance.
Newsletter

Related Articles

0:00
0:00
Close
JD Vance Warns Europe Faces “Civilizational Suicide” Over Open Borders and Speech Limits
Germany Enters Fiscal Crisis as Cabinet Approves €174 Billion in New Debt
Trump Administration Finalizes Broad Tariff Increases on Global Trade Partners
JD.com Launches €2.2 Billion Bid for German Electronics Retailer Ceconomy
Azerbaijan Proceeds with Plan to Legalise Casinos on Artificial Islands
IMF Upgrades Global Growth Forecast as Weaker Dollar Supports Outlook
House Republicans Move to Defund OECD Over Global Tax Dispute
France Opens Criminal Investigation into X Over Algorithm Manipulation Allegations
Trump Steamrolls EU in Landmark Trade Win: US–EU Trade Deal Imposes 15% Tariff on European Imports
ChatGPT CEO Sam Altman says people share personal info with ChatGPT but don’t know chats can be used as court evidence in legal cases.
Intel Reports Revenue Beats but Sees 81% Rise in Losses
Politics is a good business: Barack Obama’s Reported Net Worth Growth, 1990–2025
UN's Top Court Declares Environmental Protection a Legal Obligation Under International Law
"Crazy Thing": OpenAI's Sam Altman Warns Of AI Voice Fraud Crisis In Banking
The Podcaster Who Accidentally Revealed He Earns Over $10 Million a Year
UK Government Considers Dropping Demand for Apple Encryption Backdoor
Japanese Man Discovers Family Connection Through DNA Testing After Decades of Separation
Russia Signals Openness to Ukraine Peace Talks Amid Escalating Drone Warfare
Switzerland Implements Ban on Mammography Screening
Pogacar Extends Dominance with Stage Fifteen Triumph at Tour de France
President Trump Diagnosed with Chronic Venous Insufficiency After Leg Swelling
CEO Resigns Amid Controversy Over Relationship with HR Executive
NVIDIA Achieves $4 Trillion Valuation Amid AI Demand
Tulsi Gabbard Unveils Evidence Alleging Political Manipulation of Intelligence During Trump Administration
Centrist Criticism of von der Leyen Resurfaces as she Survives EU Confidence Vote
Trump Announces Coca-Cola to Shift to Cane Sugar in U.S. Production
FIFA Pressured to Rethink World Cup Calendar Due to Climate Change
Zelensky Reshuffles Cabinet to Win Support at Home and in Washington
"Can You Hit Moscow?" Trump Asked Zelensky To Make Putin "Feel The Pain"
Church of England Removes 1991 Sexuality Guidelines from Clergy Selection
Superman Franchise Achieves Success with Latest Release
Hungary's Viktor Orban Rejects Agreements on Illegal Migration
Air India Pilot’s Mental Health Records Under Scrutiny
Jamie Dimon Warns Europe Is Losing Global Competitiveness and Flags Market Complacency
Moonshot AI Unveils Kimi K2: A New Open-Source AI Model
Martha Wells Says Humanity Still Far from True Artificial Intelligence
Nvidia Becomes World’s First Four‑Trillion‑Dollar Company Amid AI Boom
EU Delays Retaliatory Tariffs Amid New U.S. Threats on Imports
Trump Proposes Supplying Arms to Ukraine Through NATO Allies
US Opens First Rare Earth Mine in Over 70 Years in Wyoming
Bitcoin Reaches New Milestone of $116,000
Severe Heatwave Claims 2,300 Lives Across Europe
Declining Beer Consumption Signals Cultural Shift in Germany
Emails Leaked: How Passenger Luggage Became a Side Income for Airport Workers
Polish MEP: “Dear Leftists - China is laughing at you, Russia is laughing, India is laughing”
Western Europe Records Hottest June on Record
BRICS Expands Membership with Indonesia and Ten New Partner Countries
Elon Musk Founds a Party Following a Poll on X: "You Wanted It – You Got It!"
China’s Central Bank Consults European Peers on Low-Rate Strategies
France Requests Airlines to Cut Flights at Paris Airports Amid Planned Air Traffic Controller Strike
×