Arm Accuses China Venture Ex-CEO of Blocking its Business
- Arm fires back against accusations of interference by China JV
- Dispute may hinder SoftBank’s plans to sell chip designer Arm
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Arm Ltd., the chip designer owned by SoftBank Group Corp., accused the ousted head of its China joint venture of hurting its business there, escalating a dispute that’s becoming a test of Beijing’s willingness to protect foreign investment in the world’s second-largest economy.
The U.K. chip giant in June announced it was firing Allen Wu, the head of its Chinese unit, over undisclosed breaches of conduct, but the executive has refused to step down and remains in control of the strategically important operation. Rather than the peaceful, rapid resolution that both sides have said they want, the situation has deteriorated.