UK chip designer Arm Holdings has seen its stock market value almost double in less than a week as investors bet on the artificial intelligence, AI, boom.

The Cambridge-based company reported financial results last Wednesday that showed demand for AI-related technology is boosting its sales.

Chips designed by Arm already power almost every smartphone in the world.

The firm was taken private by Japan’s SoftBank in 2016 and it returned to the stock market last September.

Arm’s shares have soared since its earnings announcement last week and are now up by more than 98 per cent.

It comes as chipmaker Nvidia has seen its shares more than triple in value in the last year on soaring demand for its AI chips.

The AI boom has helped Nvidia become one of the most valuable publicly-traded companies in the world, with a stock market valuation of around US $1.8 trillion.