Microsoft to make own ARM-based CPUs for servers and Surface devices

Big news today as word leaked that Microsoft is developing its own processors. Anonymous sources told Bloomberg that Microsoft is developing in-house processor designs based on the ARM architecture.

Microsoft's primary goal seems to be to come up with better chips for its own data centers. Furthermore, the company is also said to be working on a design that could power future Surface series computers:

The world’s largest software maker is using Arm Ltd. designs to produce a processor that will be used in its data centers, according to people familiar with the plans. It’s also exploring using another chip that would power some of its Surface line of personal computers. The people asked not to be identified discussing private initiatives.

In recent years, various tech giants have started making their own chips instead of relying on off-the-shelf or semi-custom solutions provided by Intel or AMD. Google and Amazon have been making chips for their own server farms for years and Apple recently revealed the M1 SoC, a very impressive ARM-based chip for the consumer computer market.

If Microsoft can mirror Apple's success with the M1 SoC, Windows on ARM may still have a bright future.