4 ms·
I suspect there is a bit of a Catch-22 with any sale. Purchase by any ARM customer (including Nvidia) potentially reduces the value as it will alienate other A
by klelatti 6y ago
I suspect there is a bit of a Catch-22 with any sale.
Purchase by any ARM customer (including Nvidia) potentially reduces the value as it will alienate other ARM customers who compete with the buyer (e.g. AMD holds ARM licenses so how would it feel about using Nvidia controlled technology). Yet who else will be able to generate synergies from the acquistion?
Of course Nvidia may feel that the synergies are big enough to offset the loss of business plus its share price gives it a fantastic acquisition currency.
Plus, the line when Softbank bought ARM was that ARM as a listed company was constrained by lack of cashflow, so a deep pocketed owner would be able to take up opportunities not available to ARM as as stand-alone company.