The US Federal Trade Commission (FTC) says that the disintegration of the merger proposed between Nvidia and Arm “safeguards future innovation” in the tech industry.
On February 14, FTC Bureau of Competition Director Holly Vedova said the termination “of what would have been the largest semiconductor chip merger will preserve competition for key technologies and safeguard future innovation.”
“This result is particularly significant because it represents the first abandonment of a litigated vertical merger in many years,” Vedova commented.
Nvidia announced the purchase of Arm from SoftBank in 2020 for $12 billion in cash and $21.5 billion in stock, alongside $5 billion locked under an earn-out clause.
The potential merger of Nvidia and Arm, given their collective market share and expertise in tech, raised regulatory concerns worldwide. The European Commission (EC) launched…
