Guard, cancel: NVIDIA does not buy ARM from SoftBank

In September 2020, NVIDIA announced the purchase of the British ARM chip developer at SoftBank. A year and a half later, the deal was still not completed. It has now been officially cancelled.

What is known

Both companies announced this in a joint press release. Cause the cancellations are called "serious regulatory problems." NVIDIA was unable to convince the relevant authorities that the deal would not affect ARM's free licensing model. The company even offered to create a separate organization that would hold licenses for the development of chips. 

Because of cancellation of the deal, SoftBank will receive a $1.25 billion commission. The holding also announced that it now plans to make ARM public. This will help offset some of the expected cash inflow. In addition, the current CEO of the company Simon Segars (Simon Segars) leaves his post. Rene Haas will take his place.

If you suddenly did not know

Company ARM develops chips for processors used in many smartphones, including Apple and Samsung. It was founded in 1990. In July 2016, the manufacturer was acquired by the Japanese holding company SoftBank. The amount of the deal was not disclosed, but according to rumors, $32 billion was laid out for it. NVIDIA was going to buy ARM for $40 billion.

A source: Nvidia News