Arm going public after $66 billion Nvidia buy deal falls apart
Softbank will take Arm public to unload it, after Nvidia officially stopped its purchase due to concerns from regulators and Arm's current customer base.
In late 2020, Nvidia announced it would be buying Arm from SoftBank for nearly $40 billion in a cash and stock-based purchase. Nvidia's shares have since increased in value, making the deal worth roughly $66 billion today.
However, by January 2022 that Nvidia was already considering backing out of the deal.
Nvidia likely backed out of the deal, as it faced increasing pressure from regulators. UK politicians began to investigate the takeover in November 2021, citing national security concerns.
In the United States, the Federal Trade Commission sued to block the deal in December 2021 over concerns it would stifle innovation and harm competition in the chip market.
Now, as reported by the Financial Times, the deal is officially over. According to sources familiar with the matter, Softbank is seeking to unload Arm through an initial public offering before the end of 2022.
Sources claim that SoftBank prefers the idea of listing Arm in New York and will seek to resist nationalistic pressure.
Read on AppleInsider
In late 2020, Nvidia announced it would be buying Arm from SoftBank for nearly $40 billion in a cash and stock-based purchase. Nvidia's shares have since increased in value, making the deal worth roughly $66 billion today.
However, by January 2022 that Nvidia was already considering backing out of the deal.
Nvidia likely backed out of the deal, as it faced increasing pressure from regulators. UK politicians began to investigate the takeover in November 2021, citing national security concerns.
In the United States, the Federal Trade Commission sued to block the deal in December 2021 over concerns it would stifle innovation and harm competition in the chip market.
Now, as reported by the Financial Times, the deal is officially over. According to sources familiar with the matter, Softbank is seeking to unload Arm through an initial public offering before the end of 2022.
Sources claim that SoftBank prefers the idea of listing Arm in New York and will seek to resist nationalistic pressure.
Read on AppleInsider
Comments
p.s. and not get a dime of ROI
Of course, there is competition. The Open RISC-V. There's a lot more infrastructure that must be built around RISC-V to become a competitor to ARM, but pushing out ARM into the wild by itself might make RISC-V more viable.
On the other hand, RISC-V has the real danger of producing an infinite variety of one-off clones all incompatible with each other. ARM, at least, controls the roadmap of its development.
I'm not sure Apple adheres to that roadmap for ARM, given its version of the processor outcompetes other versions of ARM. The Broadcom and TI versions of ARM are not something to write home about.
Just a question, since time makes me forget. Wasn’t Arm developed by Apple, and Steve Jobs sold the company in the times of necessity? Careful! I am not talking about the false narrative of Microsoft. Only about Arm
And it is Pixar that Jobs dumped to raise cash. Instead, Intel was actually part of the original ARM research and development group along with Apple. They correctly decided to go all in on x86 and sold their stake to Marvell. Before anyone says "shortsighted", x86 was the consensus best option available at the time and Intel dominated computing for 40 years as a result. ARM-driven mobile surpassing PC in 2010 and ARM PC CPUs rivaling - though not surpassing - PC CPUs in 2020 doesn't invalidate that decision. Especially since ARM still isn't much of a factor in server computing. Particularly since - as the Steam Deck shows - x86 is now viable for mobile devices, meaning that when AMD's Zen 5 SOCs are released in 2023 (on a 5nm node that TSMC is going to customize for AMD to keep them from jumping ship to Samsung) and when Intel's 5nm SOCs are released in 2025, we are going to see Windows 11 and ChromeOS devices that can match the iPad's form factor and performance. After that when they reach 3nm, x86 mobile phones that can rival the iPhone will be possible. (I bet that a big.LITTLE quad core AMD x86 Android phone would outperform any Qualcomm or Exynos phone already but no such thing exists.)
Thanks
Relax!! I was asking, jayyzzzuuuzzz
Were you not aware that part of the fear with NVIDIA was that, once ARM was controlled by an American company that it would also then be controlled by the American government to threaten and intimidate other countries and companies -- just as we have done with other so called "American technologies"?
No. The modern ARM architecture was a joint venture between, Acorn (ISA, design), VLSI (fabrication), and Apple (money)… Apple wanted an efficient mobile chip for the Newton.
Makes you wonder why Apple didn’t just buy Acorn and use their CPUs instead of switching to PowerPC?
Your continual China/CPC whitewashing can’t change this.