Both the firms have formed partnership in June this year
Chip maker AMD has revealed plans to develop server chips based on the low-power designs of UK-based Arm Holdings.
Arm-based chips are currently used in most smartphones and tablets as they consume less power than other processors based on x86 architecture.
In June this year, AMD said that it will integrate ARM's Cortex-A5 processor with TrustZone security technology into future accelerated processing units (APUs) to build a platform security processor.
AMD said it plans to offer development platforms that have TrustZone security features on select APUs in 2013, expanding further across its product portfolio in 2014.
AMD has struggled to compete with Intel in the PC business, which accounts for three quarters of its revenues.
AMD, like many other companies, is being hurt by the fall in PCs sales over the past year, due to the rising popularity of smartphones and tablets.
Earlier this month, AMD had revealed its plans to lay off nearly about 2,340 jobs, 20% to 30% of its total workforce of about 11,700.
Recently, AMD had updated the FX family of its central processing units (CPUs) with the introduction of eight new chips.