NVIDIA is to acquire Arm Limited from SoftBank in a transaction valued at $40 billion. The two companies have signed a a definitive agreement for this under which SoftBank will gain ownership stake in NVIDIA, expected to be under 10 percent.
The combination of NVIDIA’s AI computing platform with Arm’s ecosystem will create the premier computing company for the age of artificial intelligence, accelerating innovation while expanding into large, high-growth markets.
Some points about the acquisition:
- Unites NVIDIA’s leadership in artificial intelligence with Arm’s vast computing ecosystem to drive innovation for all customers.
- NVIDIA will expand Arm’s R&D presence in Cambridge, UK, by establishing a world-class AI research and education center, and building an Arm/NVIDIA-powered AI supercomputer for groundbreaking research.
- NVIDIA will continue Arm’s open-licensing model and customer neutrality and expand Arm’s IP licensing portfolio with NVIDIA technology.
- NVIDIA also intends to retain the name and strong brand identity of Arm and expand its base in Cambridge. Arm’s intellectual property will remain registered in the U.K.
- Arm will expand its IP portfolio with NVIDIA’s GPU and AI technology
The deal will have its impact on a large ecosystem from the cloud, smartphones, PCs, self-driving cars, robotics, edge IoT, to AI computing. AI which is the most powerful technology force of today will be maximum impacted. In a statement the companies said that together they will continue working on some of the world’s most pressing issues from climate change to healthcare, from agriculture to education.
