ARM Holdings Plc

The case traces the development of ARM and its innovative business model, based on partnering, to become the de facto standard for RISC chips used in mobile phones, storage devices, automotive, set-top boxes, etc. It explores how ARM builds and manages an alliance network for learning from the world the knowledge it needs to stay ahead of competitors, and through which its licenses and manufactures it designs. A detailed example of how ARM innovates is presented.

The case can be used in executive programmes and the MBA to explore the issues of building and managing a global alliance network, to discuss the innovation process in a company that must mobilise knowledge from around the world, and to illustrate the nature and workings of a metanational strategy that allows companies to globalise at a much more rapid pace.