Arm is shifting its business model from licensing chip designs to producing its own silicon. The company unveiled the Arm AGI CPU to handle agentic AI workloads in data centers.

This strategy places the SoftBank-owned firm in direct competition with major customers including Nvidia and Intel. Meta has signed as the lead partner for the new processor.

OpenAI also joined as an early customer for the hardware. The AGI CPU utilizes Arm's Neoverse platform. Meta expects to deploy the chips at scale later this year.