Oracle Corp. (NYSE:ORCL) has become the latest company to adopt Arm Holdings PLC‘s (NASDAQ:ARM) AGI central processing units (CPUs).
Oracle Cloud Infrastructure (OCI) is joining the Arm AGI CPU ecosystem, which already includes customers like Cerebras Systems (NASDAQ:CBRS), Cloudflare (NYSE:NET), Meta Platforms (NASDAQ:META), OpenAI, SAP AG, SK Telecom, Verda, among others. CEO Rene Haas revealed on Tuesday at the Taipei Computex conference that, besides “huge partner” Oracle, China’s ByteDance is also now a customer of Arm’s AGI CPUs.
“The momentum is really increasing for us now with agentic AI…whether it’s our own CPU or our partners,” Haas said.
OCI executive Mahesh Thiagarajan said the company is excited about the potential of Arm’s AGI CPU to power next-generation agentic AI systems, combining high-performance Arm computing with OCI’s scalable cloud platform to help customers deploy more efficient AI environments at scale.
Arm’s AGI CPU is built for the AI agent era and offers more than twice the performance per rack of traditional x86 CPUs, enabling cloud providers and AI infrastructure operators to boost computing capacity without exceeding power and cooling limits.
Arm Rides The Agentic AI Wave
Arm’s AGI CPUs have been gaining traction in the tech industry, with the company’s stock reaching new 52-week highs and tripling from its 52-week low of $100.02 on Monday. This surge was largely due to Nvidia‘s (NASDAQ:NVDA) unveiling of the RTX Spark, a superchip that combines a Blackwell GPU with a new N1X CPU, an Arm-based processor co-developed with MediaTek.
CNBC commentator Jim Cramer, expressed enthusiasm for Arm’s stock following Nvidia’s announcement, emphasizing that the superchip is “amazing for club holding ARM!”
Last month, Bernstein initiated coverage of Arm Holdings with an Outperform rating and a $300 price target, helping fuel a sharp rally in the stock. Analyst David Dai said the AI industry is evolving from chatbot-focused applications to agentic AI systems, a shift that should increase demand for CPUs. He believes Arm is well-positioned to benefit because of its energy-efficient chip architecture, giving the company a structural advantage as agentic AI adoption grows.
Benzinga's Edge Rankings place ARM Holdings in the 98th percentile for momentum, whereas its value ranking was poor at the 1st percentile. Benzinga’s screener allows you to compare ARM’s performance with its peers.
ARM Price Action: On a year-to-date basis, ARM stock surged 256.36%, as per Benzinga Pro. On Monday, it ended 15.73% higher at $408.85.
Disclaimer: This content was partially produced with the help of AI tools and was reviewed and published by Benzinga editors.
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