Nvidia is in advanced talks to acquire Arm Holdings from SoftBank Group, according to Bloomberg.
A potential sale of Arm to Nvidia, the world’s largest graphics chip maker, was announced earlier this month. Nvidia’s market value has grown to nearly $ 260 billion in recent months, surpassing that of Intel. Arm has also become much more valuable by pushing its architecture towards smart cars, data centers, and network technology. The purchase of Arm would help transform Nvidia into a major player in the semiconductor industry.
Nvidia is said to be the only company currently in advanced negotiations with SoftBank to purchase Arm. The two companies intend to strike a deal in the coming weeks. Representatives for Nvidia, SoftBank and Arm declined to comment Bloomberg.
Apple has licensed Arm’s technology for its A-series chips used in iOS devices since 2006, and Apple plans to expand the use of Arm-based chips to Macs, with the upcoming launch of Macs equipped. from Apple Silicon. Also arm licenses to various other companies such as Qualcomm, Advanced Micro Devices and Intel. Companies using Arm technology would likely not be supportive of a deal with Nvidia that does not include explicit guarantees that Arm’s instruction set will continue to be available for equal licensing opportunities.
SoftBank reportedly approached Apple to see if it was interested in purchasing Arm. Despite preliminary discussions, Apple does not plan to pursue an offer due to Arm’s licensing requirements and possible regulatory concerns.
If done, a deal with Nvidia could be the largest ever in the semiconductor industry and likely attract the attention of monopoly regulators, especially since Nvidia is an Arm customer. SoftBank initially acquired Arm for $ 32 billion four years ago because it was a neutral party that could not be the subject of a dispute. A sale to Nvidia would likely not have a major impact on Apple’s licensing of Arm technology due to the regulatory requirements that would accompany such a deal.