Nvidia boosts confidence in CPU market; Arm stock hits new highs; SoftBank, led by Masayoshi Son, earns $220 billion

格隆汇 May 22｜According to Yicai, after NVIDIA expressed confidence in the CPU market, on May 21, U.S. stock market saw chip design company Arm's share price surge by 16.16%, reaching a new high since its IPO, with its market value surpassing 300 billion USD. On May 20 local time, NVIDIA released its latest quarterly financial report for the period ending April 26 this year, showing quarterly revenue of 81.615 billion USD, an 85% year-on-year increase, and GAAP net profit of 58.321 billion USD, a 211% year-on-year increase. During the earnings conference call after the report, NVIDIA CFO Colette Kress stated that NVIDIA's CPU revenue is expected to reach 20 billion USD this year, and the Vera CPU opens up a brand new market worth 200 billion USD for NVIDIA. Compared to Intel and AMD's x86 approach, NVIDIA's Vera CPU adopts the Arm architecture. With Arm's share price rising, SoftBank Group, under Masayoshi Son, has gained considerable floating profits. SoftBank Group acquired Arm shares for approximately 32 billion USD in 2016, and in 2017 acquired 25% of Arm held by Vision Fund 1 based on a 64 billion USD valuation. Based on this, the cost for SoftBank Group's Arm stake is about 48 billion USD. SoftBank Group holds approximately 87% of Arm. On May 21, Arm's market capitalization in the U.S. was 316.7 billion USD. This means that SoftBank's investment in Arm has yielded a return of over 220 billion USD.