Following the news that Arm will cut up to 1,000 jobs globally;

Dr Lil Read, Analyst in the Thematic Research Team at GlobalData, a leading data and analytics company, offers her view:

“Arm’s plans to cut up to 15% of its workforce contradicts its ambitions to address the key themes of the next decade, including the metaverse, artificial intelligence (AI), and Internet of Things (IoT). GlobalData’s Jobs Analytics database shows that, between December 2021 and March 2022, Arm has advertised 200 jobs globally, but most of these are for junior roles and internships. Building next generation technology is a job for experienced staff and Arm will need to retain this talent if it wants to succeed in emerging themes like the metaverse. Experienced tech professionals who have built their careers at Arm may be worried about what the future holds for them, but these engineers will be hot commodities in the tech market, which is always looking for top talent.”

David Bicknell, Principal Analyst in the Thematic Research Team at GlobalData, offers his view:

“Arm was praying for a cash injection from the Nvidia takeover, but this deal collapsed last month. It will be at least 2023 before the company can arrange an initial public offering (IPO) and, until then, it needs a short-term fix for a long-term problem. These job cuts may buy Arm some time following the failed buyout but will not improve its cash flow position in an uncertain world.”