ARM Ltd does not manufacture and sell CPU devices based on its own designs, but rather, licenses the processor architecture to interested parties. ARM offers a variety of licensing terms, varying in cost and deliverables. To all licensees, ARM provides an integratable hardware description of the ARM core, as well as complete software development toolset (compiler, debugger, SDK), and the right to sell manufactured silicon containing the ARM CPU. Fabless licensees, who wish to integrate an ARM core into their own chip design, are usually only interested in acquiring a ready-to-manufacture verified IP core. For these customers, ARM delivers a gate netlist description of the chosen ARM core, along with an abstracted simulation model and test programs to aid design integration and verification. More ambitious customers, including integrated device manufacturers (IDM) and foundry operators, choose to acquire the processor IP in synthesizable RTL (Verilog) form. With the synthesizable RTL, the customer has the ability to perform architectural level optimizations and extensions. This allows the designer to achieve exotic design goals not otherwise possible with an unmodified netlist (high clock speed, very low power consumption, instruction set extensions, etc.). While ARM does not grant the licensee the right to resell the ARM architecture itself, licensees may freely sell manufactured product (chip devices, evaluation boards, complete systems, etc.). Merchant foundries can be a special case; not only are they allowed to sell finished silicon containing ARM cores, they generally hold the right to remanufacture ARM cores for other customers.
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