Arm has unveiled its first internally developed chip, dubbed the AGI CPU, designed for artificial intelligence inference in data centers. Meta is one of the first customers, alongside several partners such as OpenAI, Cloudflare, and SAP. Until now, Arm positioned itself as a provider of chip designs, maintaining a neutral stance towards its clients, which include Apple, Nvidia, and Google. With this initiative, the group is now becoming a direct competitor to certain players within its own ecosystem.

This evolution comes amid surging demand for computing power driven by AI. While GPUs still dominate certain use cases, CPUs are regaining importance with the rise of so-called agentic applications, which require more general-purpose computing. Arm is highlighting the energy efficiency of its architecture, claiming its processor could offer up to twice the performance per watt compared to systems based on x86 architecture.

The chip is currently being produced by TSMC using 3-nanometer technology, with a production ramp-up expected during the year. This launch takes place in a market estimated at nearly $1 trillion, where competition is intensifying. For Arm, this is a strategic bet aimed at capturing more value within the semiconductor supply chain, at the risk of redefining its relationships with long-standing partners.