Nvidia has reportedly halted all efforts to acquire Arm for $40 billion after a year and a half of trying amid intense regulatory scrutiny and criticism.
According to three anonymous sources who spoke to the Financial Times, the deal - first announced in September 2020 - has fallen through and is no longer on the table. That means Nvidia will likely have to spend up to $1.25 billion to Arm owner SoftBank for not going through with the transaction. Arm CEO Simon Segars will also lose his job, the report said.Â
The deal would have given graphics giant Nvidia total control of the legendary British chip designer, a company with architecture and intellectual property crucial to most of the phones and tablets ever manufactured, as well as server chips and even some Apple products (such as Apple's Arm-powered MacBooks). Pocket-lint has contacted Nvidia for a comment and to confirm the status of the deal.Â
Keep in mind, nearly two weeks ago, Bloomberg also reported that the deal might not go through, largely due to UK, EU, and US regulators all nervous about Nvidia owning Arm.
The Federal Trade Commission also sued to stop the acquisition.
Arm, which is based in Cambridge, UK, has grown from the days of its Advanced RISC Machine processor inside the BBC and Acorn machines of the 80s into one of the biggest technology companies in the world. After becoming a public company, it is now largely owned by Japan's SoftBank. Ironically, SoftBank also previously owned a stake in Nvidia, which it sold in 2019.
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