Nvidia Acquires Arm Holdings For $40 Billion From SoftBank

Nvidia Acquires Arm Holdings For $40 Billion From SoftBank

Nvidia CEO Jensen Huang

Rick Wilking | Reuters

Chipmaker Nvidia has launched Arm Holdings, a chip designer for mobile phones. SoftBank With a $40 billion transaction Announcement Sunday. The deal includes $21.5 billion in Nvidia stock and $12 billion in cash. This includes $2 billion to be paid upon signing.

Softbank acquired Arm for $31.4 billion in one of its largest acquisitions in 2016. Arm is best known as the architect of the architecture used in most mobile phone chips, including the Qualcomm chip used in most Android phones and Apple’s iPhones. Apple also Move mac computer From Intel chips to Arm-based designs.

With chips widely used to support graphics and artificial intelligence applications, including self-driving cars, Nvidia has promised “continue to remain customer neutral with cancer’s open licensing model.”

SoftBank Arm purchase The idea is that investments in the so-called Internet of Things will lead to new useful scenarios where wireless connectivity between everyday items like refrigerators, cars and other devices will be useful.

Masayoshi Son, Chairman of Soft Bank at the time Told reporters“It’s a company I’ve always admired for the past 10 years… I’ve wanted to be part of SofBbank. I’m so happy.”

But this year, Softbank’s finances have been deteriorating due to losses from investments in companies such as: We work And Uber. Recently, the company Stock loss value In early September, it was reported that it acquired some of the stakes in a tech giant that suffered a decline in the stock market value. It’s likely that you’ve made a lot of investment in Arm since the acquisition, so it’s unclear how much the SoftBank will actually make.

READ  Nervous voters are getting stamps and merch to fund the USPS

The company is also looking for cash to help startups that have invested through the Vision Fund, many of whom have struggled during the coronavirus pandemic and subsequent shutdowns. Early this summer Announcement It will sell up to $21 billion of T-Mobile shares.

You May Also Like

About the Author: Max Grant

Devoted web lover. Food expert. Hardcore twitter maven. Thinker. Freelance organizer. Social media enthusiast. Creator. Beer buff.

Leave a Reply

Your email address will not be published. Required fields are marked *