INDEX / DIRECTORY / ARM / ECONOMIC

ARM ECONOMIC

ECONOMIC AUDIT UPDATED 2026-09-07
Economic Score 7.00 /10 B ARM - BDS-1000 615
Economic 7.00

Evidence-only forensic audit. Scoring happens downstream - see the main dossier for the composite assessment.

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Arm Holdings plc is a public company limited by shares incorporated and registered in England and Wales, with its registered office in Cambridge.1 Arm was established in 1990 as a joint venture of Acorn Computers, Apple Computer, and VLSI Technology, and SoftBank acquired Arm in 2016.1

Supply Chain & Sourcing Relationships

Arm’s official Keil distributor listing identifies Pertech Embedded Solutions Ltd., Ra’anana, as an Israeli distributor for Keil development tools, Arm Development Studio, and related products.2 This establishes an Israeli commercial distribution channel for Arm development software and tools.2

Pertech states that it serves communications, aerospace, defence, medical, industrial, IoT, and automotive markets.3 Pertech’s market description does not identify the IDF, Israeli Ministry of Defense, settlement authorities, or another Israeli government customer, and it does not establish sales of Arm products to those customers.3

No public evidence identified of a verified procurement record tying Arm, Arm Technologies Israel, Sansa Security, or Pertech to the IDF, Israeli Ministry of Defense, Israeli police, settlement authorities, or a named defence prime.3, 4

No public evidence identified of Arm supplying Israeli agricultural exporters, importing Israeli-origin consumer products, using an Israeli importer-of-record entity, recurring seasonal procurement, or third-party Israeli consumer-goods sourcing.2, 3, 4

No public evidence identified of Arm-operated sites, distributors, resellers, sales, services, or sourcing in the West Bank, including East Jerusalem, or the Golan Heights.3, 5, 4

Product Origin, Labeling & Regulatory Compliance

Arm announced on 30 July 2015 that it had acquired Israel-based Sansa Security, which it described as a provider of hardware-security IP and software for system-on-chip components.6 Arm’s announcement did not disclose the transaction value.6

A contemporaneous Globes report estimated the Sansa Security transaction at US$75–85 million and reported that the acquired business would become Arm’s Israeli development centre, but this figure was a media estimate rather than an Arm-disclosed purchase price.7

Arm’s 2015 financial report listed Arm Technologies Israel Limited as a 100%-owned Israeli group company engaged in the development of IoT technology and system IP.8 Arm’s FY2025 subsidiary exhibit lists Arm Technologies Israel Ltd., incorporated in Israel, as 100% owned by Arm Holdings plc as of 31 March 2025.9 Arm’s FY2026 annual report lists Arm Technologies Israel Limited as 100% owned, with the activity “Development of system IP,” at 24 Alexander Street, Ra’anana 4366249, Israel, as of 31 March 2026.10

Arm’s FY2025 annual report identifies the Israeli subsidiary’s address as 24 Zarhin Street, POB 4334, Ra’anana 4366249, Israel, and describes its activity as development of system IP.11 Arm’s current office directory likewise lists a Ra’anana office at 24 Zarhin Street, POB 4334, Ra’anana 4366249, Israel.5 The reviewed sources do not explain whether the difference between the Alexander Street and Zarhin Street addresses reflects relocation, a building-number discrepancy, or separate legal and operating addresses.5, 10

Arm’s current Ra’anana office materials describe software and hardware engineering, security IP, architecture, project-management, GPU, machine-learning, and AI teams, and describe the location as a two-floor development hub.12

No public evidence identified of settlement-origin product handling, settlement sales, occupied-territory service locations, or a published Arm policy addressing sourcing or labelling from occupied territories.12, 5, 4

Investment, Capital & Financial Exposure

The Sansa Security acquisition represents controlling operating ownership rather than a passive portfolio investment because Arm publicly announced the acquisition and subsequent group disclosures identify the Israeli operating company as wholly owned.6, 9, 10

The Israel Advanced Technology Industries 2025 booklet reports that Arm Israel had 115 employees in Ra’anana, primarily hardware and software engineers in Arm’s GPU group, alongside security-architecture, local-sales, and field-application-engineering personnel.13 The same profile reports more than ten vacancies and that a project involving approximately 30 engineers had been brought to Israel over the preceding year, but does not identify the project, customer, contract value, state support, or occupied-territory work.13 These employee and project figures are industry-association reporting rather than Arm securities disclosures.13

SoftBank’s 2019 Vision Fund 2 announcement states that SB Investment Advisers (UK) Limited, a wholly owned SoftBank Group subsidiary, would manage the fund; SoftBank stated an intended US$38 billion investment and that the fund was expected to be consolidated in SoftBank Group’s financial statements.14 This establishes a SoftBank-controlled fund-management and consolidated-reporting relationship, but does not establish that each portfolio company is a SoftBank or Arm subsidiary.14

SoftBank’s 2022 annual-report material states that SoftBank Vision Fund made its first investments in Israel during fiscal 2021.15 That source does not identify the investees, investment amounts, ownership percentages, entry or exit dates, or distinguish direct SoftBank capital from fund or co-investment-vehicle capital.15

Quris announced US$9 million in additional seed financing in December 2022, bringing total seed funding to US$37 million, and stated that SoftBank Vision Fund 2 led the additional financing.16 Its announcement quotes SoftBank Investment Advisers’ Director of Israel Operations as describing an objective of creating a business in Israel.16 Public material reviewed does not establish Vision Fund 2’s ownership percentage, investment instrument, present holding status, or whether Quris received Israeli state incentives.16

Classiq announced from Tel Aviv in July 2025 that SoftBank Vision Fund 2 invested in an expansion of its Series C round.17 The announcement does not disclose the investment amount, ownership percentage, instrument, continuing holding status, Israeli tax status, or a settlement or defence nexus.17

SoftBank’s 2025 report identifies Wiz as one of 27 new AI-company investments made in fiscal 2024 and describes it as a SoftBank Vision Fund portfolio company; it states that the fund originally invested at a US$10 billion valuation and that Google’s announced US$32 billion acquisition was expected to generate returns on completion.18 Google announced the acquisition agreement on 18 March 2025, but the retrieved announcement does not state Wiz’s domicile, Israeli workforce, SoftBank ownership percentage, or SoftBank’s proceeds.19

No public evidence identified in the reviewed official SoftBank materials of an Israeli company acquired or controlled directly by SoftBank Group or its wholly owned subsidiaries, apart from the documented general statement that first Israel investments were made through the Vision Fund structure in fiscal 2021.15, 20 This finding does not establish that no such investment exists because the reviewed sources are not a complete country-by-country portfolio ledger.15, 20

No public evidence identified of an Arm-financed Israeli fund, an Arm portfolio investment in Quris or Classiq, a SoftBank-controlled acquisition of either company, or a disclosed current ownership percentage for these investments.16, 17

No public evidence identified of Israeli sovereign or war-bond underwriting, Israel Bonds sales, Israel-focused portfolio holdings, direct lending, insurance underwriting, or controlling-principal/family-office investments in Israeli companies.4, 18, 20

Operational Presence & Market Activity

Arm’s office directory lists an Israel office at 24 Zarhin Street, POB 4334, Ra’anana 4366249, Israel.5 Arm describes the Ra’anana location as a development hub spanning two floors.12 Arm Technologies Israel’s 100%-owned status at 31 March 2026, the current office listing, and the careers page evidence continuing Israeli operations after July and November 2024.12, 5, 10

Arm’s 2024 Israel Sub-Plan establishes an equity-award framework for eligible Israeli grantees, refers to Israeli Income Tax Authority approval or election procedures, and provides for awards under section 102 of Israel’s Income Tax Ordinance.21 The Sub-Plan does not quantify Israeli employees, awards, revenue, operational activity, Preferred Technology Enterprise status, Innovation Israel funding, or the amount of any Israeli tax benefit.21

Arm’s FY2025 Form 20-F states that the company contributes to government pension plans for employees in Israel and other jurisdictions.1 Arm’s FY2025 annual report states that no political donations or contributions to political parties, as defined under the UK Companies Act 2006, were made during that fiscal year.11

No public evidence identified of Arm-operated offices, warehouses, retail locations, factories, other physical sites, or settlement-based distributors and resellers in the West Bank, including East Jerusalem, or the Golan Heights.5, 4

No public evidence identified of Israeli tax incentives, Preferred Technology Enterprise status, Israel Innovation Authority awards, Israeli-market revenue attribution, or Israeli manufacturing by Arm Technologies Israel.21, 10

Corporate Structure & Foundational Ties

Arm’s FY2026 annual report identifies Kronos II LLC, registered in Delaware, as Arm Holdings plc’s immediate parent and SoftBank Group Corp., registered in Japan, as its ultimate parent and controlling party.10 Arm reported that SoftBank held an indirect shareholding of around 87% as of 31 March 2026 and that Arm qualified as a Nasdaq controlled company.10 As of 20 May 2025, SoftBank beneficially owned 922,733,999 ordinary shares, or approximately 87.1% of Arm’s issued share capital, through indirect subsidiary Kronos II LLC.1

Masayoshi Son has served as an Arm director and Chair since 2016 and is identified by Arm as SoftBank Group’s founder, Chair, and CEO.10 René Haas remains Arm’s CEO and director; in April 2026 he also became CEO of SoftBank Group International in a part-time role, which Arm described as intended to increase integration with certain portfolio companies in AI and semiconductors.10

Arm’s 2025 filing identifies Ronald D. Fisher, Jeffrey A. Sine, Karen E. Dykstra, Rosemary Schooler, Paul E. Jacobs, and Young Sohn among the other directors.1 The current Arm board page identifies Son as Chair and Haas as CEO and a board member.22

SoftBank may nominate seven directors while its ownership exceeds 70%, and may nominate up to eight directors if it exercises its right to expand the board to nine; Arm’s filing states that every non-executive director was designated by SoftBank for election.1 In September 2023, Arm completed a reorganisation under which Arm Holdings Limited became the group parent and was re-registered as Arm Holdings plc under English law.1

A 2021 CTech report described Yossi Cohen as SoftBank’s Israel representative and reported Vision Fund 2 investments in AnyVision, Redis Labs, and Vianai Systems.23 This is an unresolved media lead rather than a verified portfolio mapping for this audit because no underlying issuer, fund, or regulatory record was retrieved to establish investment amount, instrument, ownership, current status, or Arm attribution.23

No public evidence identified that Arm was founded in Israel, is Israeli-domiciled, has its principal management in Israel, is Israeli state-owned, is designated Israeli critical national infrastructure, or holds Preferred Technology Enterprise status.1, 10

Profit Repatriation & Economic Contribution

Arm’s FY2025 significant-subsidiary exhibit lists Arm Technologies Israel Ltd. as 100% owned by Arm Holdings plc.9 The exhibit expressly lists only subsidiaries considered significant and omits subsidiaries not significant in the aggregate, so it is not by itself a complete map of every group entity.9

Arm’s FY2025 filing identifies the Israeli subsidiary as conducting system-IP development, while Arm’s office materials describe engineering and technical teams in Ra’anana.11, 12 The FY2026 annual report continues to list the entity as 100% owned and engaged in system-IP development.10 The available sources do not provide Israel-specific revenue, profit, tax paid, dividend flows, transfer-pricing arrangements, or repatriated earnings figures.1, 11, 10

A third-party Israeli company-information record identifies ARM TECHNOLOGIES ISRAEL LTD, company number 513018770, as active, incorporated on 4 October 2000, with a Ra’anana address and a 2025 annual filing, but it does not independently establish Arm Holdings plc’s current ownership percentage.24

SoftBank’s FY2026 report identifies SB Investment Advisers (UK) Limited as manager of Vision Fund I and SB Global Advisers Limited as manager of Vision Fund II and the Latin America fund, and states that Vision Funds and their managers have separate and independent operations and processes from SoftBank Group.20 The reviewed record establishes a parent-level investment-fund relationship but does not provide Israel-specific amounts, holding percentages, duration, exits, state financing, tax status, or strategic-sector significance sufficient to quantify or compare those fund activities with Arm Technologies Israel’s direct R&D operation.10, 15, 20, 16, 17

The U.S. House lobbying registry lists Arm Holdings plc as a client of Invariant LLC, but the retrieved registry result does not establish lobbying subjects, expenditure, or an Israel/Palestine-related position.25 Masayoshi Son established the Masayoshi Son Foundation in 2016 and is listed as its president, while its published purpose covers youth support, scholarships, and research or institutional support.26 The available foundation material does not provide recipient-level grant schedules or support a finding about Israel-, Palestine-, or political-advocacy-linked recipients.26

A retrieved Arm podcast page includes the words “Israel Palestine” in remarks by guest Peter Gabriel rather than by René Haas, and therefore does not substantiate an Arm or Haas policy statement on Israel/Palestine.27 The supplied document-scoped full-text checks reported no target-company reference in the specified OHCHR, UN, DBIO, PAX, HRW, BDS, KLP, Who Profits, and insurance-report materials, but this is not evidence of database-wide or sector-wide absence.4

Footnotes

  1. https://www.sec.gov/Archives/edgar/data/1973239/000197323925000016/arm-20250331.htm ↩ ↩2 ↩3 ↩4 ↩5 ↩6 ↩7 ↩8 ↩9

  2. https://www.keil.com/distis/co/il.htm ↩ ↩2 ↩3

  3. https://pertech.co.il/ ↩ ↩2 ↩3 ↩4 ↩5

  4. https://www.ohchr.org/en/press-releases/2025/09/un-human-rights-office-updates-database-businesses-involved-israeli ↩ ↩2 ↩3 ↩4 ↩5 ↩6 ↩7

  5. https://www.arm.com/company/offices ↩ ↩2 ↩3 ↩4 ↩5 ↩6 ↩7

  6. https://www.arm.com/zh-cn/company/news/2015/07/arm-expands-iot-security-capability-with-acquisition-of-sansa-security ↩ ↩2 ↩3

  7. https://en.globes.co.il/en/article-arm-buys-israeli-co-sansa-security-for-85m-1001056912 ↩

  8. https://www.arm.com/-/media/arm-com/company/Legacy%20Financial%20PDFs/ARMGFReport2015.pdf?la=en ↩

  9. https://www.sec.gov/Archives/edgar/data/1973239/000197323925000016/ex81-subsidiariesofarmhold.htm ↩ ↩2 ↩3 ↩4

  10. https://investors.arm.com/static-files/29742a1f-33e5-4320-9a45-4079efcdb321 ↩ ↩2 ↩3 ↩4 ↩5 ↩6 ↩7 ↩8 ↩9 ↩10 ↩11 ↩12 ↩13

  11. https://www.sec.gov/Archives/edgar/data/1973239/000197323925000035/armholdingsplcukannualre.htm ↩ ↩2 ↩3 ↩4

  12. https://careers.arm.com/raanana-office ↩ ↩2 ↩3 ↩4 ↩5

  13. https://iati.co.il/wp-content/uploads/2025/01/Booklet-2025.pdf ↩ ↩2 ↩3

  14. https://group.softbank/en/news/press/20190726 ↩ ↩2

  15. https://group.softbank/en/ir/financials/annual_reports/2022/message/misra ↩ ↩2 ↩3 ↩4 ↩5

  16. https://www.quris.ai/news-softbank ↩ ↩2 ↩3 ↩4 ↩5

  17. https://www.classiq.io/insights/softbank-vision-fund-2-makes-strategic-investment-in-classiq-expanding-series-c ↩ ↩2 ↩3 ↩4

  18. https://group.softbank/media/Project/sbg/sbg/pdf/ir/financials/annual_reports/annual-report_fy2025_en.pdf ↩ ↩2

  19. https://blog.google/company-news/inside-google/company-announcements/google-agreement-acquire-wiz/ ↩

  20. https://group.softbank/media/Project/sbg/sbg/pdf/ir/financials/annual_reports/annual-report_fy2026_en.pdf ↩ ↩2 ↩3 ↩4 ↩5

  21. https://investors.arm.com/static-files/0a00cdf7-a190-4469-8f0f-f92738639c20 ↩ ↩2 ↩3

  22. https://www.arm.com/company/board ↩

  23. https://www.calcalistech.com/ctech/articles/0,7340,L-3912066,00.html ↩ ↩2

  24. https://www.checkid.co.il/company/%D7%90%D7%A8%D7%9D-%D7%98%D7%9B%D7%A0%D7%95%D7%9C%D7%95%D7%92%D7%99%D7%95%D7%AA-%D7%99%D7%A9%D7%A8%D7%90%D7%9C-%D7%91%D7%A2~%D7%9E-513018770 ↩

  25. https://lobbyingdisclosure.house.gov/lookup.asp?reg_id=39145 ↩

  26. https://masason-foundation.org/en/2016/12/15/3011/ ↩ ↩2

  27. https://newsroom.arm.com/podcasts/tech-unheard-episode-8-peter-gabriel ↩