Key News Facts
Arm Holdings (NASDAQ: ARM) reported a revenue of $4 billion and a net income of $800 million for the last fiscal year. The company, which designs microchip architecture and licenses its technology to manufacturers like Apple and Taiwan Semiconductor Manufacturing (TSMC), is projected to control 50% of the data center processor market by the end of this year, up from 15% in 2024.
TSMC currently holds a market share of 80% to 90% in global high-performance processor production, catering to major clients including Nvidia and Qualcomm. The semiconductor industry, facing challenges in reducing dependency on TSMC, is investing billions to establish manufacturing capabilities in the U.S. and Europe.
DigitalOcean (NYSE: DOCN) reported an annualized recurring revenue run rate of $843 million as of Q1 this year, showcasing a 14% growth from the previous year. Known for providing cloud-based services and solutions, DigitalOcean’s business model emphasizes predictable monthly revenues, making it an attractive option for investors.
