Microsoft and Google would oppose the Nvidia / ARM deal

Darker and darker horizon for Nvidia’s proposed acquisition of ARM

Very early on we took a position by telling you that the deal for the acquisition of ARM by Nvidia should probably not goahead. While the acquisition process is still ongoing, Bloomberg understands that some of ARM’s largest partners, namely Google, Microsoft and Qualcomm, would have opposed the acquisition by Nvidia. According to sources, many companies with an ARM license, including the latter three, are asking the antitrust authorities to intervene. The American companies in particular want the authorities to study the case carefully because of the potential risk of infringement of competition law. This request has had consequences in recent hours on Nvidia’s share price.

Heavy obstructions are accumulating

The crucial point in this case, in addition to geopolitical considerations, concerns ARM’s neutrality with respect to its current and future clients. In addition to Microsoft and Google, other major opponents have come forward, such as Qualcomm . Not to mention, of course, Huawei, which is lobbying at the political level to get China to oppose the deal. Qualcomm believes that there is a significant risk that Nvidia could reduce or prevent Arm’s customers from having access to the British company’s technologies and patents. For the time being, nothing is final since the regulatory authorities in the United States and Europe have not yet made a decision. Since the takeover can only take place on the condition of unanimous validation by these bodies, it goes without saying that feasibility is increasingly compromised.