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Arm gets dumped in the dumpster 

Arm gets dumped in the dumpster 

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The biggest semiconductor deal in history has been disbanded – all thanks to Nvidia (NVDA). It has backed out from the $40b takeover of Arm. Nvidia Corporation is an American multinational that designs chips for the mobile computing and automotive market, and was founded in 1993. Arm, founded in 1990, is a British semiconductor and software design company based in England.

Despite their promising future, the regulatory competition authorities have objected to this deadly union. The US Federal Trade Commission has asserted that Nvidia would become too powerful if it gained control over Arm's chip designs. At the same time, Arm’s takeover by a US company poses a threat to British national security. China, the biggest semiconductor producer in the world, is also critical of this partnership as it will challenge its position. We see semiconductor wars in our crystal ball!

Why it matters

2021 saw a shortage of semiconductors due to supply chain issues and Covid-19. Regulators are cautious this time to prevent another shortage in their countries, and want to be self-sufficient.

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