Tech

EU Commission: Nvidia ready for concessions for ARM takeover

In the fight for EU approval for the ARM takeover, Nvidia is ready to make concessions. Nvidia wants to buy the British architectural designer ARM for around 40 billion US dollars. The EU Commission is currently examining this takeover. The decision is to be announced on October 27th.

The EU Commission does not reveal what concessions Nvidia has made on the basis of its statutes. After a Message Reuters the EU Commission is now asking competitors and customers about the takeover before accepting the concessions at the end of October, demanding more or initiating an investigation. The latter would take another four months.

ARM’s processor architectures are found in most modern smartphones and are essential for the expansion of 5G cellular networks, among other things. Companies can license either the basic ARM architecture or specific CPU core designs in order to use them for their own processors.

ARM is currently owned by the Japanese investor Softbank. Nvidia’s takeover plans cause displeasure because the company is in direct competition with other ARM licensees. Google, Microsoft and Qualcomm, among others, have already raised concerns. Nvidia asserts, however, that ARM should remain independent after the takeover.

The British competition and market authority has also examined the matter under antitrust law. According to this, the UK is tending to block the ARM takeover by Nvidia, but investigations are still ongoing. Large customer ARMs like Broadcom, MediaTek and Marvell support the takeover.

ARM boss Simon Segars has In early July 2021 in a blog post also voted for the takeover by Nvidia. Accordingly, Nvidia would invest significantly in the British location and ARM would open new doors into the world of artificial intelligence.


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