Report: Apple Pays Less Than 30 Cents in Royalties to Arm Per Chip
Apple pays British chip architect Arm less than 30 cents per chip in royalties, The Information reports.
Apple licenses the underlying technology used in the iPhone, iPad, Mac, Apple Watch, Apple TV, and HomePod from Arm. Despite being one of its biggest and most important customers, Apple represents less than five percent of Arm's annual revenue, with the company paying the least of any of Arm's smartphone chip customers. Apple pays a flat fee of less than 30 cents in royalties for each chip used in its devices, regardless of how many cores it has.
SoftBank is the owner of Arm, and in 2017, the company's CEO gathered Arm executives and explained that Apple pays more for the piece of plastic that used to be used to protect the screens of new iPhones than it does to license Arm's intellectual property. SoftBank's attempts to renegotiate Arm's deal with Apple to raise royalty rates were apparently unsuccessful.
While Apple is unlikely to sever its ties with Arm, the company has apparently explored the long-term possibility of using a competing open-source technology for its chips called RISC-V. Apple's current licensing agreement with Arm was signed in September and it "extends beyond 2040," but the chip architect is said to have continually attempted to renegotiate its financial terms.
Popular Stories
Apple recently teamed up with Japanese fashion brand ISSEY MIYAKE to create the iPhone Pocket, a limited-edition knitted accessory designed to carry an iPhone. However, it is now completely sold out in all countries where it was released.
iPhone Pocket became available to order on Apple's online store starting Friday, November 14, in the United States, France, China, Italy, Japan, Singapore, ...
Cyber Week is here, and you can find popular Apple products like AirPods, iPad, Apple Watch, and more at all-time low prices. In this article, the majority of the discounts will be found on Amazon.
Note: MacRumors is an affiliate partner with some of these vendors. When you click a link and make a purchase, we may receive a small payment, which helps us keep the site running.
Specifically,...
Netflix has quietly removed the ability to cast content from its mobile apps to most modern TVs and streaming devices, including newer Chromecast models and the Google TV Streamer.
The change was first spotted by users on Reddit and confirmed in an updated Netflix support page (via Android Authority), which now states that the streaming service no longer supports casting from mobile devices...
The updated specs of the M5 iPad Pro may point toward a major new feature for Apple's next-generation Studio Display expected in early 2026.
Apple's latest iPad Pro debuted last month and contains one display-related change that stands out: it can now drive external monitors at up to 120Hz with Adaptive Sync. The feature should deliver lower latency, smoother motion, and fewer visual...
While all Macs are now powered by Apple's custom-designed chips, a new rumor claims that Apple may rekindle its partnership with Intel, albeit in a new and limited way.
Apple supply chain analyst Ming-Chi Kuo today said Intel is expected to begin shipping Apple's lowest-end M-series chip as early as mid-2027.
Kuo said Apple plans to utilize Intel's 18A process, which is the "earliest...
Cellular carriers have always offered big savings on the newest iPhone models during the holidays, and Black Friday 2025 sales have kicked off at AT&T, Verizon, T-Mobile, and more. Right now we're tracking notable offers on the iPhone 17, iPhone 17 Pro, iPhone 17 Pro Max, and iPhone Air. For even more savings, keep an eye on older models during the holiday shopping season.
Note: MacRumors is...
On this week's episode of The MacRumors Show, we talk through the latest rumors about Apple's upcoming iPad mini 8.
Subscribe to The MacRumors Show YouTube channel for more videos
The next-generation version of the iPad mini is expected to feature an OLED display, as part of Apple's plan to expand the display technology across many more of its devices. Apple's first OLED device was the Apple...
Apple is expected to launch a new foldable iPhone next year, based on multiple rumors and credible sources. The long-awaited device has been rumored for years now, but signs increasingly suggest that 2026 could indeed be the year that Apple releases its first foldable device.
Subscribe to the MacRumors YouTube channel for more videos.
Below, we've collated an updated set of key details that ...
2026 could be a bumper year for Apple's Mac lineup, with the company expected to announce as many as four separate MacBook launches. Rumors suggest Apple will court both ends of the consumer spectrum, with more affordable options for students and feature-rich premium lines for users that seek the highest specifications from a laptop.
Below is a breakdown of what we're expecting over the next ...
