Tech giants are opposed to the acquisition, stating that Nvidia’s acquisition of ARM could hurt existing competition.
In September 2020, Nvidia announced that it had purchased ARM for a sum of $ 40 billion. The agreement was reached between Nvidia and SoftBank Group, which currently owns ARM Holdings and is pending legal approval. According to reports by CNBC and Bloomberg, Microsoft, Google and Qualcomm have expressed concern that the deal could harm competition among regulators around the world.
“Selling ARM could hurt competition”
ARM licenses its chip designs and software to Apple, Intel, Samsung Electronics, Amazon, and many more major tech companies. The concern is that if Nvidia has ARM, it could limit competitors’ access to the technology or increase the cost of access.
According to sources from Bloomberg and CNBC, Microsoft, Google and Qualcomm are asking antitrust officials to intervene in the deal, who want their identity not to be disclosed because they are not authorized to speak about the issue publicly.
Nvidia argued that the acquisition was about advancing artificial intelligence, an area where Nvidia has heavily focused on its work in driverless cars, from machine learning-enabled upgrades in graphics cards.
An Nvidia spokesperson told CNBC: “As we proceed with the review process, we are confident that both regulators and customers will see the benefits of our plan to maintain ARM’s open licensing model and ensure a transparent, collaborative relationship with ARM licensees. it will help them grow and open up to new markets. ” gave his statements.