Qualcomm opposes the takeover of ARM by Nvidia

Qualcomm doesn’t want Nvidia to buy ARM for $ 40 billion. The group, best known for its mobile chips, has contacted various regulators around the world to oppose this transaction.

An ARM takeover by Nvidia, Qualcomm says no

US, EU, UK and Chinese regulators have been contacted by Qualcomm to oppose the acquisition. According to Qualcomm, such a takeover will pose a risk, especially with Nvidia which would become a guardian of ARM’s technology. The group believes that the acquisition could prevent other chipmakers from using the technology in question. In addition, Qualcomm ensures that the only way for Nvidia to make profitable its purchase is to keep ARM’s technology to itself.

ARM works with more than 500 companies around the world, including major smartphone manufacturers (Samsung, Apple and Huawei to name a few). Its technology is now used in 95% of smartphones. Suffice to say that it is very important.

Nvidia announced that it had bought ARM for $ 40 billion last September. This must be validated (or rejected) by the various regulators around the world. Nvidia tells CNBC that he is confident, despite Qualcomm’s request.

In the meantime, the FTC of course has Qualcomm’s fears. The US regulator has started asking questions of Nvidia, ARM and SoftBank (which owns ARM to date) for additional information. The FTC is also expected to question some ARM partners.