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Nvidia’s Plan to Dominate Chip Design Stymied by Antitrust Angst

  • FTC sues to block chipmaker’s $40 billion acquisition of Arm
  • Investors and analysts have largely written off the deal
Bloomberg business news
FTC Sues to Block Nvidia Acquisition of Arm

When Nvidia Corp. announced plans to buy Arm Ltd. in September 2020, the deal was more than just the chip industry’s largest-ever acquisition -- the company said it would supercharge the technology found in everything from cars to smartphones.

Now, more than a year later, that audacious plan is in peril. The U.S. Federal Trade Commission sued to block the $40 billion purchase on Thursday, calling it a threat to semiconductor innovation. Arm customers have lined up against the transaction. And investors and analysts have written off the idea of it ever happening.