Chinese firm takes ARM license to attack server market

Chinese firm takes ARM license to attack server market

Business news |
By Peter Clarke

The company intends to produce server chipsets and supply them to Chinese makers of server computers. Guizhou province is already home to 2.5 million servers in data centers belonging to China Mobile, China Telecom and China Unicom, said ARM.

The formation of Guizhou Huaxintong Semiconductor Technology Co. Ltd. (GHST) was announced in January 2016 with Qualcomm contributing both capital and technology to the joint venture valued at $280 million (RMB 1.85 billion). Qualcomm president Derek Aberle also said Qualcomm would assist with design expertise.

“China is facing a mountain of data flowing through its data centers and finding solutions that are cost effective and efficient is a key priority,” said Pete Hutton, executive vice president and president of products groups, ARM.

“This is a chance to reinvent the economics and performance of hyperscale data centers and enables China to architect its own server chips based on ARM technologies for its domestic market and for the rest of the world,” said Peter Hutton, executive vice president of ARM, in a statement.

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