Arm, which is majorly owned by SoftBank, will start making its own chips now that Meta has signed on as a customer, according to the Financial Times. The chip is expected to be a CPU for servers in large data centers and can be customized for various customers. Arm will outsource its production.

Arm has begun recruiting from its own customers and competing against them for deals as it pushes toward selling its own chips, according to people familiar with the matter and a document viewed by Reuters.

Arm Holdings Plc rose as much as 8.4% after the Financial Times reported that it landed Meta Platforms Inc. as an early customer for a new chip.