Arm announced today that it plans to spin off its two Internet of things service businesses, which will effectively transfer the two departments to Softbank group, which acquired the chip designer as early as 2016. This is because arm seeks to focus entirely on the semiconductor IP business, which makes the company ubiquitous in the mobile world. The transfer is subject to additional review by the company’s board of directors and standard regulatory review. Arm said it is expected to be completed by the end of September this year.
Although this will effectively remove the Internet of things platform and treasure data business from its brand, the company said it plans to continue to cooperate with ISG (Internet of things service group). The company will retain the business of Internet of things computing IP, and take data software and services as its own spin off business.
“Arm believes that there are great opportunities for the symbiotic development of data and computing,” Simon segars, chief executive of arm, said in a press release related to the news. “Softbank’s experience in managing fast-growing early business will maximize ISG’s value in seizing data opportunities. Arm will be more able to innovate on our core IP roadmap and provide greater support to our partners to capture expanding computing solution opportunities in a range of markets.”
Arm’s Internet of things business has achieved considerable success. Its technology has been shipped on billions of devices. It is expected that the planned goal for the next decade is one trillion.