Arteris Raises 2026 Revenue Outlook on Strong Growth
The semiconductor IP company lifted its full-year revenue forecast after third-quarter revenue rose 48% year over year.
Updated on Nov. 8, 2026 in Semiconductors
Arteris, a semiconductor IP and software company, raised its 2026 revenue outlook to $98.5 million to $99.5 million after third-quarter revenue climbed 48% to $25.774 million. The company also lifted its year-end annual contract value plus royalties forecast to $103 million to $107 million.
Why it matters
The raised outlook follows a prior forecast of $95 million to $98 million issued in August, signaling stronger demand for the company's network-on-chip intellectual property and system-on-chip software. For the United States semiconductor sector, growth in licensed chip design IP reflects continued investment in custom silicon.
Trailing-12-month variable royalties reached $9.4 million, up 71%, while the company reported a third-quarter GAAP net loss of $11.154 million, or 23 cents per share. The annual contract value plus royalties measure combines annualized fixed contract fees, trailing variable royalties and other revenue, and the extraction does not detail what drove the royalty increase.
The players
Arteris
Arteris is a semiconductor intellectual property and software company that provides network-on-chip interconnect technology used in system-on-chip designs.
The details
Arteris reported revenue of $25.774 million for the three months ended Sept. 30, compared with $17.408 million a year earlier. Fourth-quarter revenue is expected between $25.7 million and $26.7 million, and the company set its year-end annual contract value plus royalties range at $103 million to $107 million.
Timeline
Aug. 6, 2026: Arteris issued its prior 2026 revenue forecast of $95 million to $98 million.
Sept. 30, 2026: The third quarter ended, with annual contract value plus royalties measured at $103.8 million.
Q4 2026: Arteris expects fourth-quarter revenue of $25.7 million to $26.7 million.
The Tech Race
Arteris's growth in licensed network-on-chip interconnect IP reflects the broader move among chip designers toward complex system-on-chip architectures that rely on third-party interconnect blocks. The 48% quarterly revenue gain places the company's licensing model in direct competition for design wins against in-house interconnect development.
The growth of licensed chip-design IP can influence the pace at which new processors and devices reach the market, affecting the features and pricing consumers see in electronics. The extraction does not indicate any direct change to consumer product prices or availability tied to this forecast.
The takeaway
Quarterly guidance and recurring contract metrics together offer a clearer view of a semiconductor IP company's momentum than revenue alone. Readers tracking the chip sector can watch annual contract value trends for signs of sustained licensing demand.
Further reading
For broader context on chip design and licensing, explore the Semiconductors section.
Source note: This article includes information reported by TokenPost.
