Qualcomm Expresses Stake Acquisition Intent In Arm If Regulators Block Nvidia Deal: CNBC

  • Qualcomm Inc's QCOM incoming CEO Cristiano Amon wished to acquire a stake in the SoftBank Group Corp SFTBY SFTBF owned U.K. chipmaker Arm, if it went public, CNBC reports.
  • Nvidia did not consider an initial public offering to be enough to support Arm's growth.
  • Qualcomm, Microsoft Corp MSFT, and Alphabet Inc GOOG GOOGL have voiced their dissent against NVIDIA Corp's NVDA $40 billion Arm acquisition deal over too excessive power concentration in Nvidia's hands.
  • Federal Trade Commission, the European Commission, the U.K.'s Competition and Markets Authority, and China's State Administration for Market Regulation are investigating the deal despite Nvidia's fair play assurances.
  • Arm has as a joint venture, "Arm China" with Chinese private equity firm Hopu Investments with Shanghai headquarter.
  • Arm spun out of an early computing company, Acorn Computers, in 1990.
  • Around 95% of the global smartphones and 95% of China's chips employ Arm's chip architecture. Arm licenses its chip designs to over 500 companies for chip manufacturing.
  • Nvidia recently expressed optimism over regulatory approval for the deal.
  • Price action: QCOM shares traded higher by 0.5% at $135.29, and NVDA shares traded higher by 0.54% at $716.86 in the premarket session on the last check Monday.
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