Arm's Reality Check: When the Smartphone Gravy Train Hits a Speed Bump
Arm Holdings’ stock slide this week isn’t just a market hiccup—it’s a stark reminder that even the most dominant chip designers aren’t immune to the brutal cyclicality of consumer electronics. The company that powers roughly 99% of the world’s smartphones is facing a double squeeze: the smartphone market itself is cooling, and the AI chip gold rush they were counting on to offset that decline is proving far more competitive and capital-intensive than anyone anticipated. Reuters reported the stock decline amid these mounting pressures, and the implications ripple far beyond Cambridge. ...