The FTC is now opposing the takeover of ARM by NVIDIA. The American agency hopes to be able to prevent the transaction.
Last year it was announced that NVIDIA would buy ARM, the company whose technology and design are used in the majority of chips that we can find today in the devices of Qualcomm, Apple, Samsung and many others. That being said, this acquisition had made a lot of teeth cringe, many tech giants indeed saw this transaction as a very evil eye for market equilibrium.
FTC now opposes NVIDIA buyout of ARM
This acquisition was so potentially fraught with consequences that, in the United Kingdom, the government announced that it was going to prevent the agreement. It turns out that, today, in the United States, the FTC has decided to oppose this takeover in turn. So much so that the FTC has just launched a lawsuit to try to prevent attempts by NVIDIA to buy ARM.
The American agency hopes to be able to prevent the transaction
According to the official FTC announcement, “The proposed vertical agreement would give one of the world’s largest chip companies control over technologies and designs that competing companies rely on to develop their own chips. The FTC complaint claims that this new entity would have the means and the motivation to stifle innovative next-generation technologies, including those used to run data centers and driver assistance systems in cars. ”
Although NVIDIA is known to many of us as a manufacturer of graphics cards for computers, the company actually has much more diverse businesses, including technologies that can be used to power self-driving cars in the world. future, theartificial intelligence And much more. If by any chance NVIDIA were to buy ARM, the American company would undoubtedly become a superpower in the tech industry, with the consequences on the market that we can imagine.