https://www.msn.com/en-ca/money/topstories/softbank-sells-ch…
Nvidia Corp will buy UK-based chip designer Arm from Japan’s SoftBank Group Corp for as much as $40 billion, the companies said on Monday, in a deal set to reshape the global semiconductor landscape.
The sale puts a vital supplier to Apple Inc and others across the industry under the control of a single player and faces likely pushback from regulators and rivals to Nvidia, the biggest U.S. chip company by market capitalisation.
Nvidia will pay SoftBank $21.5 billion in shares and $12 billion in cash, including $2 billion on signing. The deal will see SoftBank and its $100 billion Vision Fund, which has a 25% stake in Arm, take a stake in Nvidia of between 6.7% and 8.1%.
Nvidia CEO Jensen Huang said the deal, which will boost his firm in data centre chips, was “pro competition”. It marked “the first time in history the industry could see something that is genuinely alternative” to Intel Corp’s domination of the sector, he said.
Arm licenses its chip designs and technology to customers like Qualcomm Inc, Apple and Samsung Electronics Co Ltd. Apple’s forthcoming Mac computers will use Arm-based chips.
Arm will not become subject to U.S. export controls under the deal
Jeff
(Owns shares of both Nvidia and Softbank)