Nvidia’s $54 billion bid for British chip designer ARM is expected to face a broad investigation by the European Union’s antitrust watchdog after last week’s concessions failed to address market abuse concerns, which would be a second blow to Nvidia, two months after Britain’s antitrust agency warned that a takeover of the country’s most important tech company would hurt competition and weaken rivals. Read more [Nvidia’s ARM deal falters after British censors intervene].
The European Commission is supposed to finish the initial report on the deal review on October 27, and an investigation will take about four months to follow.
The world’s largest AI and graphics chip maker has made “behavioral concessions” to the commission, but has not disclosed the details of those concessions, which usually include pledges to take measures to maintain competition.
Nvidia has said it will keep ARM as a neutral supplier of technology in an effort to allay the concerns of its customers such as Qualcomm, Samsung Electronics and Apple, noting that the executive arm of the European Union’s competition division has not asked for competitor and customer comments on the concessions, indicating that it wasn’t enough, backers of the deal are said to have been ARM customers including Broadcom, MediaTek and Marvell.