After weeks of speculations, it has finally happened. NVIDIA today announced that it will be acquiring chipmaker hot commodity Arm Holdings for a whopping $40 billion. Read on!
Arm has been getting a lot of attention ever since Apple announced its plans to move from Intel chips to its own Arm-based Apple Silicon. SoftBank, who currently owns the company, had been looking for potential buyers, and NVIDIA seems to be the winner.
There were antitrust concerns regarding the deal since the first rumors came by. NVIDIA in its statement has assured to maintain neutrality and continue the open licensing model that made ARM such a popular chip architecture.
SoftBank acquired Arm in 2016 for $31 billion, which makes this a solid return on investment for the company. NVIDIA on the other hand has the legacy of making some of the most-loved ARM chips under the Tegra brand, which might see a boost if NVIDIA decides to use this acquisition to expand its presence in the ARM space.
NVIDIA seems to be focusing on the AI developments that it is expecting to bring in with this acquisition. Jensen Huang, founder, and CEO of NVIDIA said in his statement:
“In the years ahead, trillions of computers running AI will create a new internet-of-things that is thousands of times larger than today’s internet-of-people. Our combination will create a company fabulously positioned for the age of AI.”
We will hear in the coming weeks about the regulatory attention, and if the authorities approve the deal. What are your thoughts? Hit us up in the comments, down below!
Via NVIDIA Newsroom
