Nvidia is "quietly" preparing to abandon its purchase of UK-based chip designer Arm from SoftBank Group after making "little to no progress" in obtaining approval for the USD 40 billion agreement, Bloomberg reported, citing people familiar with the matter. It said Nvidia has told partners that it does not expect the transaction to close, according to one source, who asked for anonymity as the talks are private.
Another source told Bloomberg that SoftBank is meanwhile stepping up preparations for an initial public offering of Arm, as an alternative to the Nvidia takeover.
The report follows repeated setbacks for the deal, including opposition from the US FTC due to competition concerns and a national security review in the UK. Nvidia first announced the agreed deal in September 2020, for USD 40 billion.
