Wired
US semiconductor maker Nvidia is proceeding with the acquisition of British fabless company Arm Holdings, which is known for developing and licensing the ARM architecture used for mobile chips, but it will take longer than the originally planned 18 months to conclude negotiations. It became clear that it was a prospect.
Nvidia confident in acquisition
“Talks with regulators are taking longer than originally expected and the schedule is behind,” Nvidia CEO Jensen Huang told the Financial Times. rice field. “However, we are confident in the acquisition and we are confident that regulators will appreciate the benefits of the acquisition.”
SoftBank’s acquisition of Arm, a US company by Nvidia, is currently under scrutiny by US, UK and Chinese regulators.
Each speculation intersects in the scrutiny of the acquisition
The UK is scrutinizing Nvidia’s acquisition of Arm from a national security perspective. Politicians have also criticized the acquisition as damaging Britain’s tech industry and sovereignty on the international arena.
In the United States, the Federal Trade Commission (FTC) has begun investigating the acquisition after complaints from Google, Microsoft and Qualcomm that competition will be restricted.
China’s view is that taking control of the globally important chip industry will be a geopolitical issue with the United States. Chinese authorities have previously rejected the acquisition of orchid company NXP Semiconductors by US company Qualcomm.
ARM chips are also important in the personal computer industry
This acquisition needs to be so scrutinized because Arm occupies a very important and versatile position in the chips industry. Arm sells designs to Apple, Amazon, Samsung and more.
Softbank doesn’t compete directly with these companies, so it was okay for Arm to be part of it, but once it’s owned by Nvidia, things are very different. The recent popularity of ARM chips in the personal computer industry also seems to have spurred the difficulty of acquisition negotiations.
Source: Financial Times via The Verge
Photo: Nvidia
(lexi)
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