Why is Arm stock rising so much?

ARM China is the driving force behind ARM's sales growth. Sales have increased 30% compared to the same period last year.
The reason is the recovery in the smartphone market. Sales for the full year of 2023 fell below 2022, the lowest in recent times.
However, market research data showing strong sales for the October-December fiscal year has been announced.
There is no doubt that a recovery in the smartphone market will lead to an increase in sales.

Arm technology is used in smartphone design circuits.Revenue named royalties for every unit soldIt's in.
If the smartphone market is recovering, this will also increase.

Until now, a design called v8 has been used in design circuits for smartphones, etc. This is gradually changing from the high price range to the latest design called v9.
Royalties are higher on v9 than on v8.
By using this v9 for mid-priced and lower-priced smartphones, royalty-income will increase

The number of data centers is also increasing.
Power consumption is high for AI work. Arm designs are energy efficient, so they are preferred for AI.

Terminals such as smartphones will be made to do some AI work.Smartphone-friendly terminals will require AI chips