While there are marketing wars between major players in the field of various high-tech products-NVIDIA has acquired ARM-the main developer of mobile processors.

 

The transaction became known from the information posted on the company’s official website. As it became known, the industry giant will need to pay the previous owner (SoftBank) 21 billion dollars in shares, as well as 12 billion in cash.

 

 

This gives SoftBank the opportunity to potentially earn another $ 5 billion from future earnings. In addition, SoftBank employees should receive a total of about $ 1.5 billion due to additional obligations under this transaction.

 

The final transition, after complying with all the rules and getting all the approvals from regulators in the UK, EU, USA and China, will take approximately 18 months.

What will this do for users of computers and other devices?

 

One of the co-founders of ARM, Hermann Hauser, has already expressed his concerns about the sale. He believes that such a deal with NVIDIA could cause the collapse of the industry.

The fact is that one of the main positions in the ARM business model is the ability to sell its products to every company that expresses such a desire and will be able to produce such chips strictly according to the technology.

 

SoftBank’s unique advantage so far has been that, while not being a chip manufacturer, it has been able to maintain both legal, manufacturing, and marketing neutrality in terms of distributing ARM products.

 

If ARM becomes part of NVIDIA, most of the companies that own licenses for the production of such chips will most likely have to look for alternative options…

 

At the same time, NVIDIA plans to maintain the open license approach model for the time being.

 

In addition to including ARM in its system, NVIDIA is also going to become an investor in the construction of a research center for the development of artificial intelligence – ARM’s experience should help with the integration of all the developments and technologies available in the overall system to create a leading computing company in the era of AI.

 

Taking into account all the directions of development of corporations such as Microsoft and Apple in terms of their use of ARM technologies in their products, more large-scale purchases and mergers are possible in the coming years…

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