Nvidia’s acquisition of Arm has seemingly been abandoned

pcinvasion.com:

Nvidia’s acquisition of Arm was shaping up to be the largest semiconductor deal that we’ve seen in tech so far. But now, it seems that Nvidia could be abandoning its acquisition of the company. The deal that was going to cost Nvidia $40 billion USD raised many concerns from all corners of the world. Undeniably, it would’ve given Nvidia an edge and a massively prominent presence in the market.

This new development comes from a Bloomberg report that shares some information regarding Nvidia’s current plans. According to the report which cites anonymous sources, Nvidia “doesn’t expect the transaction to close.” It also states that SoftBank, Arm’s current owner, could put the company up for a public offering.

The deal faces resistance from the UK government, the US Federal Trade Commission, and China due to the belief that Nvidia would have too much power in the market with the use of Arm’s designs. If the deal were to still go through, it would indeed make Nvidia a very powerful company in the tech space. It would be able to leverage Arm’s chip designs and have a massive influence on the market in general.

The deal is technically still on the table as of now. Neither company has commented on this information, and both remain committed to the acquisition on the surface. That’s usually how deals like this go, though. Companies very rarely comment on any ongoing negotiations, so this lack of concrete news isn’t a surprise. Large deals and acquisitions take time as well. A recent example of this sort of thing is Microsoft’s acquisition of Activision Blizzard. The deal cost Microsoft upwards of $68.7 billion USD and made waves throughout the gaming space.

Nvidia’s potential acquisition of Arm would have yielded a massive impact