YouSaid · the spoken record

Rene Haas

lines on the record: 74
first: 2022-09-27
most recent: 2022-09-27
sittings or episodes: 1
sources: podcast

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“We're going to keep investing in the areas that I had mentioned. We think there's really strong growth there. But some of the themes that we talked about earlier relative to these complex system on packages, more and more complex designs, were looking really, really hard at the ability to do and provide more to the industry because I think there's a huge opportunity now.”
2022-09-27 · Decoder with Nilay Patel · How Arm conquered the chip market without making a single chip, with CEO Rene Haas · IDENTIFIED FROM THE TRANSCRIPT
“When you say those companies, Microsoft's the world or the Adobe's Yes, we spent a lot of time with both. And he's not wrong in that ultimately that is where the battle is to be won. I think it's much closer, and I know, like you said, even watching it for 10, 12 years, as I have as well. It's much, much closer than it has been because what's happening is not only is a lot more work being done on native apps, but a lot more of these native apps are already kind of being written forearm. Just when you look at the two different OSs in the world, that other OS, I'm using their name and code, they use, look at all the Microsoft apps that just run on their system and they've all been ported that way. So all this Microsoft apps run on your phone. So we're not that far away. And I think when there's a lot of fairly good CPU products on the market that will be competitive with the other guy, I think the tipping point will be there because to your point, what that product proved was two really important things. One was no compromise performance.”
2022-09-27 · Decoder with Nilay Patel · How Arm conquered the chip market without making a single chip, with CEO Rene Haas · IDENTIFIED FROM THE TRANSCRIPT
“Thing. Let's just say you tried it at RISV and Company A added 17 new instructions to make their RISC-V thing look a little bit different. The developer's not going to know that, right? How is the developer going to take even advantage of that? So RISC 5 probably ends up being reduced to the lowest common denominat”
2022-09-27 · Decoder with Nilay Patel · How Arm conquered the chip market without making a single chip, with CEO Rene Haas · IDENTIFIED FROM THE TRANSCRIPT
“Because it's all about software. At the end of it all, it's all about having a rich developer ecosystem that is able to just tap into writing software. And for us, we think there are 15, 20, 25 million developers who write an ARM. There are some that know they're writing on ARM because they take advantage of the instruction set. But there are others who don't because it's abstracted away. compilers and open source libraries are all there that it makes it just easy to run a case in point smart TV if you're trying to write a new menu for a smart tv and trying to link into the version of Android that is essentially the kernel underneath that's awesome it's all been optimized for ARM it's just a big advantage in terms of the software porting the libraries all exist the optimizations have been done and going back to the risk five”
2022-09-27 · Decoder with Nilay Patel · How Arm conquered the chip market without making a single chip, with CEO Rene Haas · IDENTIFIED FROM THE TRANSCRIPT
“I would even argue that they're already really good at ARM, right? So, yeah, it's going to get hard. There's no doubt about it. It's harder.”
2022-09-27 · Decoder with Nilay Patel · How Arm conquered the chip market without making a single chip, with CEO Rene Haas · IDENTIFIED FROM THE TRANSCRIPT
“But even those two companies, right? Intel has its own fabs, AMD, there's TSMC once again, there is that other manufacturing piece of the puzzle where it seems like those manufacturers over time are going to say, look, we're really good at ARM. We're going to get good at risk five. We don't want to be good at x86 anymore.”
2022-09-27 · Decoder with Nilay Patel · How Arm conquered the chip market without making a single chip, with CEO Rene Haas · IDENTIFIED FROM THE TRANSCRIPT
“That's a hard thing to call, right? X86 has been around for a long time and has certainly has a very, very large installed base. So I certainly wouldn't want to do anything that disparage what they're doing. I think the challenge with x86 is the fact it only comes from two companies. That in itself is a bit of a limiting factor in terms of how wide it can go.”
2022-09-27 · Decoder with Nilay Patel · How Arm conquered the chip market without making a single chip, with CEO Rene Haas · IDENTIFIED FROM THE TRANSCRIPT
“Code that ran on it. The timer that actually turns on the oven and turns it off for 30 seconds, that's probably risk five. So those are really the only two options out there. There's not a great deal. I mean, underneath all that are smaller companies, but those companies really haven't had much traction or market share.”
2022-09-27 · Decoder with Nilay Patel · How Arm conquered the chip market without making a single chip, with CEO Rene Haas · IDENTIFIED FROM THE TRANSCRIPT
“Do AMD or Intel. And then there's RISC-V, which is a completely different part of the stratosphere in that it's open source and lots of different versions exist. But the thing with RISC-V is that two things. It's an extensible processor, which means its strength is its weakness, in my opinion, in that the extensibility will lead to fragmentation. That, I think, has hurt them in terms of getting any kind of software ecosystem. It's really kind of hard to look around and say, what is a major software ecosystem that runs consistently on a RISV processor? So where do we see RISC-V today in a system on ship, in a deeply embedded part of the chip where the external programmer doesn't know it exists? An analogy I might give is you might put something in your microwave and hit start the 30 second timer that display is probably ARM because there might have been a little piece of open source app.”
2022-09-27 · Decoder with Nilay Patel · How Arm conquered the chip market without making a single chip, with CEO Rene Haas · IDENTIFIED FROM THE TRANSCRIPT
“On the CPU Well, I think there's really probably only two choices, and biasly, I don't think even there are really choices. From an ISIS standpoint, you have x86, but if you want to build an SOC on x86, there's only two companies in the world that will do that for you.”
2022-09-27 · Decoder with Nilay Patel · How Arm conquered the chip market without making a single chip, with CEO Rene Haas · IDENTIFIED FROM THE TRANSCRIPT
“A little bit more of the again, I go back to machine learning and AI. If you have a heterogeneous compute system where you've got a CPU and GPU and an NPU, I think there will be a point in time where the compilers are going to be smart enough that they can potentially point parts of the code that could run better on a GPU versus a CPU. And if you think about the entire cluster as an entire subsystem, I think there is long-term benefit to that. So I think for us, particularly in the system on ship, where you're trying to do all kinds of significant trade-offs too, I just don't want that workload to run on the CPU because it's going to be sucking up unnecessary power. I've got transistors in the GPU that I might be able to use if I'm not drawing. So we believe the GPU A is a pretty critical strategic component. And we think over time, it's going to be critical in the SSE for things other than just drawing, drawing angles.”
2022-09-27 · Decoder with Nilay Patel · How Arm conquered the chip market without making a single chip, with CEO Rene Haas · IDENTIFIED FROM THE TRANSCRIPT
“GPUs are a little different than CPUs because of the fact that the APIs are abstracted. So performance per watt really, really does matter a lot. And we've done a lot to level the playing field and with Immortalis, I think we're now ahead in a number of areas. The other thing that is very, very critical on these GPUs is efficiency in terms of interface between the CPU and the GPU. So that's also an area that we're investing heavily in. But we have to be on our toes in the GPU market. There's no question about it. It's very, very competitive, as you said. You've got people doing their own and you've got other third parties doing products. But at the same time, it is an area we're very focused on and will invest. And again, as I said, I think this machine learning AI vector going on with GPUs in the future is a huge opportunity for us.”
2022-09-27 · Decoder with Nilay Patel · How Arm conquered the chip market without making a single chip, with CEO Rene Haas · IDENTIFIED FROM THE TRANSCRIPT
“We actually are the number one shipper of GPUs on a planet when you just go by units. So I remember. Remember that when we were in the Misty NVIDIA acquisition, Jensen made a key point of that. We are going to stay true to our vetting. We're performance per watt matters. We're not going to venture out and do 100 watt TDP GPUs and try to play in that space. We're going to be in a one-watt range and try to optimize in an envelope. And then there are areas where you could start to do more things in terms of multiple GPUs. What we're starting to see is people looking at doing machine learning extensions and potentially doing those kind of things inside a GPU, which gets kind of interesting because the GPU can benefit from some level of AI and machine learning to do shader drawing in a much more efficient way. And at the same time, maybe you can start to move ML workloads onto the GPU. So there is a lot of interesting innovation that is going to be able to take place on our GPUs, and we're investing heavily in that area. But to be clear, we're going to stay in an area where...”
2022-09-27 · Decoder with Nilay Patel · How Arm conquered the chip market without making a single chip, with CEO Rene Haas · IDENTIFIED FROM THE TRANSCRIPT
“On the other side of that, with laptops, desktops, even with car makers, right? I go and sit in Oivian and I get told about the GPU and Unreal Engine driving the car, like graphics performance has become a key differentiator across this industry, across all kinds of products. You have had some GPUs in the past. You've got new GPUs. They've got a great name, Immortalis. Previously they're called Mallee. Apple's not using your GPUs. If you think about the big GPU vendors, they are not really thinking about performance per watt, right? And a high-end NVIDIA card, you just need a nuclear reactor in the basement to run that thing, and that's great. And it looks great. How are you going to win in GPUs?”
2022-09-27 · Decoder with Nilay Patel · How Arm conquered the chip market without making a single chip, with CEO Rene Haas · IDENTIFIED FROM THE TRANSCRIPT
“I can't give you a timeline in terms of forward reaching stuff because again my team of two lawyers would kill me. Stay tuned”
2022-09-27 · Decoder with Nilay Patel · How Arm conquered the chip market without making a single chip, with CEO Rene Haas · IDENTIFIED FROM THE TRANSCRIPT
“I am very confident that the ARM implementations can deliver an extremely compelling performance per watt story. 100% confidence in that. You don't need an architectural license to do that.”
2022-09-27 · Decoder with Nilay Patel · How Arm conquered the chip market without making a single chip, with CEO Rene Haas · IDENTIFIED FROM THE TRANSCRIPT
“That wake up call is due to a very rich company spending a lot of money on a custom riff on your instruction set, right? Like those are their chips. Are you saying we can as ARM develop products that are as efficient performance per watt-wise as the M series chips? And then we can sell those designs at Qualcomm, or is it down to Qualcomm, which I believe also has an architecture license doing it themselves?”
2022-09-27 · Decoder with Nilay Patel · How Arm conquered the chip market without making a single chip, with CEO Rene Haas · IDENTIFIED FROM THE TRANSCRIPT
“Did not, yeah, did not. We didn't have a port. Apple wasn't helping us. But fast forward 10 years later, streaming audio is what's there. No one really cares about the apps. And if you think about all the apps that run on a PC that run on a mobile phone, it's kind of hard to say, okay, so what are the natives' apps that don't really run an ARM? They're almost all there. So I think the PC thing, you know, stay tuned. We're like the Borg that's not going to stop. We're making great progress. You can see by the other ecosystems laptops what the capability is. I think that kind of was a wake-up call to the industry in terms of what the capabilities potential might be. And we're going to keep at it.”
2022-09-27 · Decoder with Nilay Patel · How Arm conquered the chip market without making a single chip, with CEO Rene Haas · IDENTIFIED FROM THE TRANSCRIPT
“We are very, very aware of somebody just backing up for a second. I was at a previous company working on Windows RT Back on your 13 year journey. I was the GM of that product line. With NVIDIA before I joined ARM. And that was my product line. So we've made massive progress on this. And I think we're like the borg that's not going to stop. I think the tipping point is really there. Nile, the very first press interview I did on the Windows RT laptop. I remember meeting with a set of reporters. First question they asked me was, does it run iTunes? And we were like, SH, bang, bang, bang. No, it did not run out.”
2022-09-27 · Decoder with Nilay Patel · How Arm conquered the chip market without making a single chip, with CEO Rene Haas · IDENTIFIED FROM THE TRANSCRIPT
“I think the way to think about it is if the products are shipping with the ARM ISA, that's a good thing for us. And if there's an alternative ISA being used, that means it's not using the arm ISA, so less good for us. So we look to essentially, I think when I was in my previous role, I had a little moniker under my name on the website that we did on the PR team that I helped with was basically said wherever computing happens, ARM will be there. And I think wherever some level of compute is taking place, if ARM is there and you would stand back and say, oh, it's a thermostat or it's my microwave or it's my Polycom or my smart TV or my laptop or whatever it is. And then the second beat is, yeah, that's ARM-based. That's pretty good.”
2022-09-27 · Decoder with Nilay Patel · How Arm conquered the chip market without making a single chip, with CEO Rene Haas · IDENTIFIED FROM THE TRANSCRIPT
“But I think increasingly over time, there's going to be sections in the industry that will benefit greatly from helping them in doing more. So it is an area that we look at very, very closely because I think back to the opportunity going forward, it's very, very clear that the demands of doing system on ships are just going to get harder and harder and to get the kind of performance around the product that you just mentioned. It's going to be more than just throwing the thing over the wall and hoping it works out.”
2022-09-27 · Decoder with Nilay Patel · How Arm conquered the chip market without making a single chip, with CEO Rene Haas · IDENTIFIED FROM THE TRANSCRIPT
“I think there's more that we can do and probably will need to do going forward and it's not so much because we need to help the industry, but these products are really, really complicated to build. And let's talk about the architectural license for a second. There was a belief at some point in time that I need to take an architectural license to build a better CPU to compete against ARM. The IPC instruction per clock of a microprocessor is only a micro fragment of what can really tip the design when you think about the memory subsystem, the interconnect, the size of the caches, how you interface into other parts of the SOC. Is the SOC in a multi-ship package where you've got die-to-die interconnect? And there are some customers that are really good at that stuff and can figure it out and don't need a lot of our help.”
2022-09-27 · Decoder with Nilay Patel · How Arm conquered the chip market without making a single chip, with CEO Rene Haas · IDENTIFIED FROM THE TRANSCRIPT
“Are some long term bets there that are much more consumer than replacing the server in the trunk of a car? Maybe the hottest trend right now as it pertains to ARM taking over things is Apple shifted from Intel to ARM-based processors, their own M-series processors in Macs. That has been an enormous victory for them, right? They've increased the battery life. They've increased the performance. These are now basically the best laptops you can buy because of the chips in them. Is that something ARM can help the rest of the industry do or is that Well, here's the designs hopefully Qualcomm can make a chip that lets Microsoft and Dell do this as well. Like where do you see that relationship to the industry from your perspective?”
2022-09-27 · Decoder with Nilay Patel · How Arm conquered the chip market without making a single chip, with CEO Rene Haas · IDENTIFIED FROM THE TRANSCRIPT
“I tend to look that far out, I think the CEO job is in learning six months in. We have lots of responsibilities. I think for me, one of the biggest responsibilities I have is to be thinking about problems five years from now, both a function of the way our business model works and the time that we design a product time we see revenue gets quite long. So I think really thinking about where the opportunities are, where the investments need to be made, where the threats are, where is the puck going relative to system design, software design processes. We think about those things all the time. And we talk about them all the time. It's probably where I spend most of my mental energy, to be honest with you, is thinking about what does the world look like in 2025 and 2026 as opposed to next quarter.”
2022-09-27 · Decoder with Nilay Patel · How Arm conquered the chip market without making a single chip, with CEO Rene Haas · IDENTIFIED FROM THE TRANSCRIPT
“Yeah, gosh, I won't second guess Patch's decisions to how he spends his money, but back to the comment you made, we were talking about single point of failure. I think we need to move fast and get these facilities started as quickly as possible, have them online as quickly as possible, and build more redundancy and lessen the exposure to single point of failure. I think we need more FABs.”
2022-09-27 · Decoder with Nilay Patel · How Arm conquered the chip market without making a single chip, with CEO Rene Haas · IDENTIFIED FROM THE TRANSCRIPT
“I think Pat has done a lot of the right things. He has a hard job, but at the same time, I think he's done some very, very good work, and we're very, very open to doing more with him.”
2022-09-27 · Decoder with Nilay Patel · How Arm conquered the chip market without making a single chip, with CEO Rene Haas · IDENTIFIED FROM THE TRANSCRIPT
“Yeah, I'll bring my politician hat back on for a second. Where we'd love TSMC to be building lots of our products, which they do. We would love Intel to do the same.”
2022-09-27 · Decoder with Nilay Patel · How Arm conquered the chip market without making a single chip, with CEO Rene Haas · IDENTIFIED FROM THE TRANSCRIPT
“There's the politician, but seriously, they're all important in an ideal world. We've got lots of people who can build all lineage technology because generally speaking in the smartphones and certainly in the data center, that is usually on the leading edge processes because people are really trying to squeeze out the most performance that they can. Automotive and industrial less so. So any fab doing leading edge process is massively important to us.”
2022-09-27 · Decoder with Nilay Patel · How Arm conquered the chip market without making a single chip, with CEO Rene Haas · IDENTIFIED FROM THE TRANSCRIPT
“We work really closely with TSMC. I would answer it by saying all fabs are important to us going back to my Switzerland comment.”
2022-09-27 · Decoder with Nilay Patel · How Arm conquered the chip market without making a single chip, with CEO Rene Haas · IDENTIFIED FROM THE TRANSCRIPT
“Full disclosure. I'm not a manufacturing expert. Exactly as you said, right? Plowing a lot of money into N-3 fabs, people are usually going to be a bit averse for that. So you start to look at, can I convert fabs that we're building a certain process technology and move that to being a logic fab or their memory fabs that can be converted to logic fabs, et cetera? But it is a very complicated problem because there are only so many fact-freeze in the world. There are so many people that know how to build these things. These companies are public companies. They have to make money. It's a very, very complex matrix. Very, very complex. And if you think about Japan 30 years ago, Japan was world-class and had the logic fabs all over the entire country. And that is essentially kind of weaned away to almost zero. I think in Japan is looking at ways to reinvent that and getting more fabs back online. So I think you'll see more of the Chips Act type of work that was done in the United States across other countries. Korea is...”
2022-09-27 · Decoder with Nilay Patel · How Arm conquered the chip market without making a single chip, with CEO Rene Haas · IDENTIFIED FROM THE TRANSCRIPT
“Of the realities of how the world operates now, though, is that the bleeding edge process nodes are mostly controlled by TSMC. That's five nanometers, three nanometers. They're way, way ahead of it. They're in control of it. That's theirs right now. Very few other people can compete on that level. And that is your smartphones. That is the bleeding edge of tech. The older process nodes, 40 nanometers, 14 nanometers that go into cars and other things are deeply constrained, and no one's going to build those fabs anymore. That is not a good investment. How do you see that playing out, right? You've got this tight constraint to TSMC at the bleeding edge. Everyone wants to build capacity there, but no one wants to build capacity for the old stuff at the same time, all the governments in the world are like, we just need capacity in our countries. What is the dynamic there that you see?”
2022-09-27 · Decoder with Nilay Patel · How Arm conquered the chip market without making a single chip, with CEO Rene Haas · IDENTIFIED FROM THE TRANSCRIPT
“We're definitely involved in helping in the dialogue. So wherever we can help, talking to political officials in any country to amplify the need for this, we do because I think it's not just an arm issue. It's kind of an industry issue. A single point of failure for anything you're doing is not a good thing. And I think the world is, and again, COVID exposed a lot of things relative to people just having their eyes open that, oh my gosh, this is a real problem. And I give a lot of credit to folks who are driving the Chips Act activity because I think it is very important. And by the way, very important period. Not just very important for the United States, but 50 years from now, there should be world-class FABs in every continent. And we shouldn't have to be worried about geopolitical type of concerns for something that's just like oxygen for how the world operates.”
2022-09-27 · Decoder with Nilay Patel · How Arm conquered the chip market without making a single chip, with CEO Rene Haas · IDENTIFIED FROM THE TRANSCRIPT
“One of the reasons that RD is picking up the pace as much as it is, is what you're talking about, that the world isn't as flat anymore. Promise of globalization may be reconsidered broadly across the globe. Here in the United States, we just passed the Chips Act really incentivizing chip manufacturing in the United States, really incentivizing all kinds of design investments in the United States. TSMC is building the States. Intel just broke ground on the newfab in Ohio. Do you see that factoring into, okay, all these countries know we're heavily reliant on a handful of fabs that are in Taiwan, that's a geopolitically hot area. We need to move these critical dependencies into our countries. And is that something that you play a part in or is that something you're just like watching from the sidelines?”
2022-09-27 · Decoder with Nilay Patel · How Arm conquered the chip market without making a single chip, with CEO Rene Haas · IDENTIFIED FROM THE TRANSCRIPT
“Yeah, so now think about a car, right, that needs all kinds of diodes and capacitors and resistors and thermal sensors. It's just not the fact that three nanometer is hard to get and a fab is hard to build. It's really all of it. And back to what's a little different this time is, and you can tell by the color of my hair, I've been in this industry a long, long time. I've been in bus cycles where people start putting the brakes on R&D and they just slow projects down, they don't do new things, they stop innovating. I am not seeing that this time. And I think that is because the digitization of everything, the just super high demand for electronics products and how it changes our lives, there's just so much innovation going on. What is our indicator of that? It's licensing. New design starts. And it's never been better for us.”
2022-09-27 · Decoder with Nilay Patel · How Arm conquered the chip market without making a single chip, with CEO Rene Haas · IDENTIFIED FROM THE TRANSCRIPT
“As it was three or four years ago doesn't take much for one supply chain to get messed up. Next thing you know, a product such as toilet paper, which one would say, how are we short on toilet paper? Which by the way, this is an aside. I remember reading into that, trying to understand a bit more about the problem. And one of it was really around the fact that these toilet paper factories had a very, very thick set of equipment that did commercial toilet paper for industries and businesses. And residential toilet paper. And when we all went home and stopped going into the offices and to shopping malls and movie theaters, the demand from commercial toilet paper consumer went out of balance. And that's why the toilet paper thing came. That's a simple”
2022-09-27 · Decoder with Nilay Patel · How Arm conquered the chip market without making a single chip, with CEO Rene Haas · IDENTIFIED FROM THE TRANSCRIPT
“And that's just the apps processor when you take into control the touch sensor, anything with the display and a camera. So what we're seeing is even though units have been softening in some markets such as smartphones, we've been sort of shielded by it just from a standpoint of where our product goes. Broadly speaking, semiconductor shortages boom bust. That's the nature of our world. I do think this one is a little different. First off, it's not all technologies. It's not all areas. IoT is strong. Industrial is strong. Cloud is strong. Different nodes are strong. Sometimes the older technology, 14 nanometer, 28, 40 is kind of hard to get. And all these devices in these complex systems require a mix and match. And you only need one thing not to be ready to have a problem. And then when you layer on top of that with COVID and the world not as full.”
2022-09-27 · Decoder with Nilay Patel · How Arm conquered the chip market without making a single chip, with CEO Rene Haas · IDENTIFIED FROM THE TRANSCRIPT
“Were divorced from it from the standpoint that we don't build anything, but we're very linked to it in the sense that our royalty model is linked to how many components that people ship. So for sure, we have an eye to it in a very big way. But back to the earlier discussion, we're pretty diversified in terms of the end market. And the other thing that's happening is just more and more CPUs are being used in these SOCs, where apps processors for mobile phones might have used one CPU and went to four CPUs. The cluster for compute is nine or ten different CPUs now, right? You have 10 CPUs”
2022-09-27 · Decoder with Nilay Patel · How Arm conquered the chip market without making a single chip, with CEO Rene Haas · IDENTIFIED FROM THE TRANSCRIPT
“Already happening. And what ends up happening with these CPUs that go into automotive, what matters there? Well, efficiency matters, power matters, functional safety matters. You have to have all of the redundancy to make sure that this can run in a safe way. Some people do it in software through compute libraries, but people would prefer to do it in hardware because it's more secure, it's much more effective. So we've developed automotive processors that have functional safety embedded. We do graphics processors that have functional safety embedded. Those are things we weren't doing in the past. We were basically kind of roll out, here's a general purpose thing, use it wherever you want to use it. That was one of the things we did the big change on in the last number of years. So automotive is going to be a very large market for us.”
2022-09-27 · Decoder with Nilay Patel · How Arm conquered the chip market without making a single chip, with CEO Rene Haas · IDENTIFIED FROM THE TRANSCRIPT
“That you're going to take some of those engineers that you have Go figure out ECUs. Go figure out an engine controller or a body control module that'll work across cars and then people, NVIDIA can come and license that and sell it to Ford.”
2022-09-27 · Decoder with Nilay Patel · How Arm conquered the chip market without making a single chip, with CEO Rene Haas · IDENTIFIED FROM THE TRANSCRIPT
“Be successful at it. And some of the cars today, that's kind of what they are. They're kind of a server in a trunk. That's going to get better over time. So we're very, very positive about the automotive market. We've been growing very, very fast there.”
2022-09-27 · Decoder with Nilay Patel · How Arm conquered the chip market without making a single chip, with CEO Rene Haas · IDENTIFIED FROM THE TRANSCRIPT
“Had no connectivity that had no memory management unit, didn't talk to other parts of the car. So the car becomes a highly networked piece of equipment. And then you add on autonomous and ADAS, which is an area for ARM to grow. So I think for us, the car is a bit of a sandbox of multiple technologies. Instrument panel, powertrain, powertrain slash ECUs, and then autonomous. And autonomous, by the way, is a huge, huge opportunity for us because of the fact that go back to the data center, you know, what really matters in the car in terms of compute is performance and efficiency. You can't have a server in your trunk running off an EV and be able to.”
2022-09-27 · Decoder with Nilay Patel · How Arm conquered the chip market without making a single chip, with CEO Rene Haas · IDENTIFIED FROM THE TRANSCRIPT
“If you think about a car, people think about electronics in the car and they quickly automatically go to. Autonomous driving What you see with crudes and such. And that's just one dimension. If you think about what goes inside an automobile and the amount of processing that takes place, the amount of processor in a car, you have your instrument panel, which is all digital and completely computerized and almost all of that runs on ARM. You have the powertrain, anything involved with the mirrors, the brakes, all of that. That is quickly moving to ARM. And by that, I mean, there's a number of things happening in the car that are moving towards ARM that are not having to do with the instrument panel or the autonomous. In the powertrain, you have many of these older ECUs that were standalone units. They might have an old proprietary microcontroller in them. They don't communicate to other parts of the car. All these ECUs are being redesigned. And inside a car, there's maybe 50, 60, 70 ECUs. I mean, there's lots of them. Each one of those might have had an old proprietary microcontroller that had”
2022-09-27 · Decoder with Nilay Patel · How Arm conquered the chip market without making a single chip, with CEO Rene Haas · IDENTIFIED FROM THE TRANSCRIPT
“Yeah, exactly. So I can't really say too much about that, but what I can say is we're pretty confident in terms of the secular growth that we're seeing in the markets we're involved in.”
2022-09-27 · Decoder with Nilay Patel · How Arm conquered the chip market without making a single chip, with CEO Rene Haas · IDENTIFIED FROM THE TRANSCRIPT
“think anytime you're a public company that is part of how part of how the world operates I can't talk too much about what life would be like in a public company under pretty strict orders to stay in my lane on that”
2022-09-27 · Decoder with Nilay Patel · How Arm conquered the chip market without making a single chip, with CEO Rene Haas · IDENTIFIED FROM THE TRANSCRIPT
“About where we're going, and we also feel really good that in the areas that we have been investing in, cloud, automotive, IoT, these are large secular growth areas that I think were very well positioned for.”
2022-09-27 · Decoder with Nilay Patel · How Arm conquered the chip market without making a single chip, with CEO Rene Haas · IDENTIFIED FROM THE TRANSCRIPT
“Yeah, that's cloud. And AWS, significant partner for us. They announced Graviton 2. They announced some fairly eye popping numbers relative to 40% improvement price performance over other architectures. So for us, we've diversified our business. And by not only developing different products, but also addressing it through different parts of business model strategy, we knew our business was going to be, end quote, okay. And all of the results you're seeing now financially, which are terrific, and the team has done a fantastic job on, really come from work that was done a few years ago because you're not going to be able to see royalty results on units that happen overnight back to how we work. We develop IP that IP has to go to a customer. They have to develop a chip. That chip has to go into the product. The product has to be qualified. It can take three to four years. So we feel good.”
2022-09-27 · Decoder with Nilay Patel · How Arm conquered the chip market without making a single chip, with CEO Rene Haas · IDENTIFIED FROM THE TRANSCRIPT
“Is this some pro forma equation? But actually we knew we were doing okay because back to my time at ARM not long after Softbank bought ARM, we reorganized. We created two business units. I took over what was classic ARM and we began a pivot towards other markets. And that pivot was not only a business model but was products. We knew, for example, that a couple things on data center was happening. We knew the TSMC was getting really good on process. We knew we were making good headway on software workloads. And we felt if we advanced our investment into some specific instructions such as SME and SVE for these are vector extensions for specific workloads on hyperscalers. We could make some hay in terms of the hyperscaler market. And so what you're seeing. Now”
2022-09-27 · Decoder with Nilay Patel · How Arm conquered the chip market without making a single chip, with CEO Rene Haas · IDENTIFIED FROM THE TRANSCRIPT
“When the NVIDIA transaction basically came apart at the end of last year and we announced the change and I took over, the next quarter, or not long after, I think it was mid-Feb I took over and our fiscal year ended in March and we were finally able to talk about our financial results. We haven't talked about our financial results for a while. We were very quiet during the NVIDIA period. And when we announced our revenues for the year, we had record revenues of well over $2 billion. We did 2.6, for example. We had never done anything over two. We had an operating margin of nearly 40%. People thought we were losing money. And if you fast forward to this quarter, EBITDA margin was even higher than where we ended last year north of 50 and 700 million in revenue, 450 million in royalties. So several of the calls I had with analysts and reporters were, where did this come from? And what kind of funny math are you doing?”
2022-09-27 · Decoder with Nilay Patel · How Arm conquered the chip market without making a single chip, with CEO Rene Haas · IDENTIFIED FROM THE TRANSCRIPT
“Neutral and being a fair provider to everyone at risk because you could cut special deals to increase revenue to extend the instruction cent. Those pressures will arrive. But that's your decision. How did you make that decision?”
2022-09-27 · Decoder with Nilay Patel · How Arm conquered the chip market without making a single chip, with CEO Rene Haas · IDENTIFIED FROM THE TRANSCRIPT
“Part of it just comes down to, and I've seen this from other leaders, not that I would put myself in that category of being super successful, but reducing the number of decisions you have to make, I've always kind of found personally helps me. I wear kind of the same attire. I eat kind of the same thing, which it's like, okay, it's food I like. It's stuff I know. It's one less thing to worry about.”
2022-09-27 · Decoder with Nilay Patel · How Arm conquered the chip market without making a single chip, with CEO Rene Haas · IDENTIFIED FROM THE TRANSCRIPT