To all the technophiles out there, question about Nvidia walking away from buying ARM with Softbank asking 60 Billion$ plus.
NVDA is my #1 port holding, but my knowledge comfort of the effects of walking away from their ARM negotiations with Softbank is enough to almost be dangerous.
Softbank increased the asking price by about 50% from where they started many months ago, and now say they’ll see what an IPO will bring.
NVDA, down right after the walk away news, went nuts today, up over 6%. Major bump.
(I’d ask the question on the NVDA board, but it is pretty much dormant most of the time.)
Useful pages on the topic:
I do not know how much of a pivot this is, but NVDA can now put more time and resources into making graphic cards.
As an Arm employee only so much I can say here. But “don’t panic” is probably the best. I am puzzled, however, about the comment “increased asking price 50%”. The original deal was roughly $40B that was paid a lot in NVDA stock, a specific number of shares of stock more precisely. That stock increased a lot since then, which is why the deal became a lot more. Not because Massa Son asked for more. But because the shares he was getting became much more valuable.
That deal was never going to get past regulators, in my opinion. Everyone finally realized that and decided to move on with life. We’ll see what the Arm IPO goes for. I’m personally, for obvious reasons, extremely interested in this IPO.
Interesting how closely NVDA tracks TSLA
Like I posted earlier, an ARM IPO should be interesting, they are inside just about everything including iPhones and other Apple products (my new MBP).
I’m personally, for obvious reasons, extremely interested in this IPO.
I bet you are
an ARM IPO should be interesting, they are inside just about everything including iPhones and other Apple products (my new MBP).
This is what worries me. Had regulators allowed the NVDA acquisition, sure you’ve got questions about how this would affect competition in the markets, but at the very least the know-how and manufacturing (if any) remains in “the West.” By going the IPO route, anybody can buy the shares, and anybody can buy (or assemble) a controlling interest. You can bet dimes to dollars the Chinese are going to be involved now.
You can bet dimes to dollars the Chinese are going to be involved now.
Dude, we already have a joint venture in China. That cat is already out of the bag.