Nvidia in talks with FTC on possible remedies for Arm deal

News General Global 18 NOV 2021
Nvidia in talks with FTC on possible remedies for Arm deal

Nvidia said the US Federal Trade Commission is seeking concessions on the company's proposed takeover of Arm. This adds to increased scrutiny in the UK and Europe already for the deal.

In its quarterly earnings report, Nvidia said the FTC "expressed concerns regarding the transaction". Nvidia is in talks with the regulator on remedies to address those concerns, the company added.

The EU has already opened an in-depth investigation of the takeover first announced in September 2020. This week the UK said it would be conducting a national security review, in addition to its own phase 2 competition investigation. China has yet to begin the formal review of the deal.

Nvidia said it still believes in the "merits and benefits of the acquisition to Arm, its licensees, and the industry". 

The company meanwhile reported revenue for its fiscal third quarter to October up 50 percent year-on-year to a record USD 7.10 billion, better than expected. Earnings jumped 83 percent to USD 0.97 per share, driven by demand for Nvidia's gaming and data centre products.

Categories:

General

Companies:

ARM,  Nvidia

Regions:

Global

Tags:

Semiconductors, M&A buyouts & divestments

Related Articles

GLOBAL 13 MAY 2022

ARM lifts revenues 35%, ships record 8 billion chips in 2021

Arm delivered 7.8 billion chips in the fourth quarter of last year, bringing its total for the year to a record 29.2 billion. Revenues also hit record levels in 2021, jumping 35 percent from the year before to USD 2.7 billion, with strong growth in both royalty and non-royalty revenue.

GLOBAL 15 MAR 2022

Arm to cut up to 15% of workforce worldwide

Arm announced plans to cut up to 15 percent of its workforce. The restructuring follows the collapse of the company's takeover by Nvidia and a new CEO taking office last month. Most job losses would be in the UK and the US, the company told the BBC.

GLOBAL 25 JAN 2022

Nvidia ready to abandon Arm takeover, SoftBank plans IPO instead - report

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.

UNITED KINGDOM 24 JAN 2022

Nvidia, Queen's University team for GBP 5.4 mln research project in Belfast

Nvidia and Queen's University Belfast have partnered on a GBP 5.4 million joint R&D project to help accelerate machine learning, cyber security and artificial intelligence (AI) research in Northern Ireland.

GLOBAL 3 DEC 2021

FTC rejects Nvidia takeover of Arm due to competition concerns

The Federal Trade Commission has come out against Nvidia's proposed USD 40 billion acquisition of UK-based chip design provider Arm. The FTC said that the combined firm would have the means and incentive to stifle innovative next-generation technologies, including those used to run data centres and driver-assistance systems in cars. The US regulator filed a lawsuit in court to block the deal. 

GLOBAL 18 NOV 2021

Nvidia in gesprek met FTC over mogelijke concessies voor goedkeuring overname Arm

Nvidia zegt dat de Amerikaanse Federal Trade Commission concessies zoekt voor de door het bedrijf voorgestelde overname van Arm. Dit komt bovenop de onderzoeken die al in het VK en Europa worden gedaan naar de deal.

UNITED KINGDOM 17 NOV 2021

UK govt formally orders in-depth investigation into Arm, Nvidia deal

The UK's Digital Secretary, Nadine Dorries, has ordered the Competition & Markets Authority (CMA) to open a Phase 2 investigation into the acquisition of UK chip designer Arm by Nvidia on national security and competition grounds.

GLOBAL 28 OCT 2021

EU opens in-depth investigation into Nvidia takeover of Arm on competition concerns

The European Commission announced the start of an in-depth investigation into Nvidia's proposed takeover of Arm. The EU watchdog said it was concerned that Nvidia could restrict rival companies' access to Arm's technology, leading to higher prices, less choice and reduced innovation in the semiconductor industry.

EUROPE 7 OCT 2021

Nvidia offers concessions for EU approval of Arm takeover

Nvidia has offered EU competition officials concessions as it looks to secure anti-trust approval for its USD 54 billion takeover of UK chip designer ARM, reports Reuters.

UNITED KINGDOM 22 AUG 2021

UK regulator says Arm, Nvidia merger raises serious competition concerns

The UK Competition & Markets Authority (CMA) has found that the acquisition of UK chip designer Arm by US company Nvidia raises serious competition concerns.

GLOBAL 19 AUG 2021

Nvidia says regulatory approval for Arm takeover taking longer than expected

Nvidia said talks with regulators on the company's proposed acquisition of Arm are taking longer than expected. While the company previously expected to close the deal in early 2022, it has not provided a new timeframe. The comments were made by Nvidia CFO Colette Kress in a presentation on the company's quarterly results.

UNITED KINGDOM 4 AUG 2021

UK could block Arm, Nvidia deal on national security grounds - report

The UK government is considering blocking the takeover of chip designer ARM by US chip company Nvidia on national security grounds, reports Bloomberg citing unnamed sources familiar with the talks.

GLOBAL 15 FEB 2021

Qualcomm files objections to Arm, Nvidia deal with regulators - report

Qualcomm has told regulators worldwide that it has strong concerns about the proposed acquisition of UK-based chip designer Arm by Nvidia, reports CNBC.

UNITED STATES 23 DEC 2020

FTC asks Nvidia for detailed documents relating to Arm acquisition

US regulators are investigating the proposed acquisition of UK technology company Arm by chipmaker Nvidia on competition grounds, reports The Telegraph. 

GLOBAL 14 SEP 2020

Nvidia buys Arm for USD 40 billion

Nvidia announced a definitive agreement to buy Arm from SoftBank for USD 40 billion, minus Arm's IoT Services Group. Nvidia founder and CEO Jensen Huang said the deal will unite Nvidia's AI computing with Arm's CPU expertise to create an AI superpower and advance computing from the cloud, smartphones, PCs, self-driving cars, robotics, 5G and IoT. It will also expand Nvidia's developer reach from 2 million to over 15 million software programmers. 

Just In

19 DEC 16:42

SLT-Mobitel launches 5G network in Sri Lanka

19 DEC 16:19

Dialog Axiata launches 5G network, connects 1.5 million subscribers

19 DEC 15:56

UK govt to ban AI-enabled nudification apps to protect women, girls

19 DEC 15:42

3 UK launches last-minute Christmas sale

Commentary

13:56

Video market set for slower growth ahead

11:38

Netflix buys Warner Bros to deepen content catalogue

11:11

KPN's mixed performance in Q3 raises questions for strategy day

15:26

Stock markets breaking records but what happened to Odido's IPO plans?

Background

01:04

The week in telecom: Wi-Fi bolt-ons take off to boost broadband growth, video market works on consolidation

01:39

The week in telecom: Netflix wins bidding for Warner Bros, Apple poaches new execs, Samsung debuts trifold

13:51

Proximus vs. Telenet: Proximus performs better in Q3 while Telenet uses up cash

14:16

Proximus Domestic still struggling with low margins

Complete profile

Before downloading the whitepaper, we would like to ask you to complete your profile with company and position. After confirming you will receive the white paper.