ARM Holdings plc (ARM) is one of the world's leading designers and licensers of semiconductor intellectual property (IP), operating primarily in Europe, the US and Asia Pacific. ARM’s business divisions are Processors (2010 Rev: 78%), Physical IP (13%) and Systems Design (9%). ARM licenses its IP to international electronics companies, which pay ARM a license fee for the original IP and a royalty for every chip manufactured. ARM’s strategy for growth includes entering new markets with new processor products and catering to a broad range of applications. In 2010 ARM recorded 33% revenue growth supported by market share growth in all focus markets. ARM has good revenue visibility with the order backlog split at 54% maturing in 2012 and the rest in 2011. Processors make up 73% of this backlog. With increasing opportunities in mobile applications, consumer electronics, embedded products and new technology outsourcing, ARM sees the company well positioned for growth going forward. The biggest risk in ARM would be the failure to maintain its competitive edge in Research and Development.