Nvidia will pay $21.5 billion in stock and $12 billion in cash for the U.K.-based chip designer, including a $2 billion payment at signing. SoftBank may receive an additional $5 billion in cash or stock if Arm’s performance meets certain targets, the companies said Sunday in a statement. An additional $1.5 billion will be paid to Arm employees in Nvidia stock.
Regulatory approvals may well prove challenging. The companies said sign-offs are needed from China, U.K., European Union and U.S. authorities and may take as long as 18 months. China’s approval may be particularly difficult given rising tensions with the U.S.
One client that will be directly challenged is Intel. Huang said a priority will be investing in Arm’s efforts to design chips for data-center computing. While he’s carved out a $3 billion niche in the business of supplying Alphabet Inc.’s Google and Facebook Inc. with graphics processors that help with their artificial intelligence workloads, Huang said he wants to speed up the adoption of Arm-based central processors, or CPUs. That’s a lucrative market dominated by Intel, which has about 90% share.
question remains that if it'll get by regulators from the US and EU, which I hope not because this is a monopoly play and it's going to be bad for mostly everyone.NIVIDIA has agreed to buy ARM for $40 billion in cash/stock