Qualcomm is one of the most renowned companies around the world. The company is the top leading brand which deals in semiconductors. Even we have seen examples that various such companies in the market are willing to use Qualcomm’s processor in their devices. Earlier in September, we have seen the GPU designer NIVIDIA has agreed to pay $40 billion for ARM Holdings. NVIDIA is a well-known brand in the market for which is known for designing CPU Cores. Now according to sources, it has been observed that Qualcomm has told regulators around the world that it is against NIVIDIA’s $40 billion acquisition of British chip designer ARM.
NVIDIA buying ARM
Currently, ARM is owned by Japanese tech giant Soft Bank. Qualcomm has shown concerns about it. The company has informed Federal Trade Commission, The European Commission, the U.K.’s Competition and Markets Authority, and even China’s State Administration for Market Regulations. This all further leads the FTC’s investigation to another stage.
These firms have asked the companies to provide more information to them. However, according to these firms, it has been confirmed being a private nature of discussions the discussion needs to be in an anonymous manner. As providing information about the matter is not a small task it will require a lot of months. Due to several large documents need to be provided to them.
Qualcomm opposition in this takeover
ARM being an efficient chip architecture company. Qualcomm has later opposed this NIVIDIA’s takeover as it believes that there is a very high risk involved in it. If NVIDIA purchases ARM then it will become the gatekeeper of Arm’s technology and prevent other chipmakers from using ARM’s intellectual property. It even thinks that NIVIDIA could not be able in full capitalization in the acquisition without crossing certain lines that people are worried about.
According to the sources, NIVIDIA spokesperson informed that they are confident that both regulators and customers will be benefited from this Arm’s open licensing model. This wk further helps in the expansion of technology into the new markets. Even there are various such threats to companies in the fear that this could be a disadvantage if ARM ends in the hands of U.S. companies.