Smartphones score but ARM is quiet over iPad

Soaraway technology stock ARM Holdings today showed just how much of a boon the surging popularity of smartphones has been as it smashed City profit forecasts.

However, it refused to comment on the rumour that its chip designs are being used in the Apple iPad.

Its shares surged to eight-year highs last week on speculation that Steve Jobs's new device was using its technology, but so secretive is the Silicon Valley company that its own suppliers do not get told if their kit has been selected for use.

Pre-tax profits of £32.3 million for the three months to the end of December were down three per cent on a year ago but smartphone and mobile computing sales gathered pace.