Chipmaker Nvidia is getting ready to end the acquisition of chip developer Arm, Bloomberg News writes in a report. The takeover is met with opposition from regulators.
It was already known in mid-2020 that Nvidia wanted to buy Arm. However, the deal, which is worth about forty billion dollars, is under pressure. Not only competitors of Nvidia protest, a series of regulators, including in the US and the EU, started investigations into the desirability of such a takeover.
Nvidia is one of the larger chip manufacturers, best known for its graphics cards, although the company also works on CPUs. Arm, on the other hand, Arm is the main designer of chip architecture, and the company’s designs are used not only by Nvidia, but also by all of its competitors.
In the meantime, according to Bloomberg, Nvidia is preparing its partners for the possible cancellation of the deal. For Softbank, which owns Arm, one possible way out would be to list the chip developer and thus profitably divest the company. Officially, however, both companies are still committed to making the acquisition a success.