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Nvidia is buying Arm from Softbank in $40 billion deal - Business Insider

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Nvidia announces its intention to buy chip design giant ARM from Softbank for $40 billion, and employees will get $1.5 billion in equity

Jensen Huang, CEO of Nvidia, shows the Drive Pegasus robotaxi AI computer at his keynote address at CES in Las Vegas, Nevada, U.S. January 7, 2018.Nvidia said Sunday it has agreed to buy chip designer Arm from Softbank, in a major deal that's expected to have a sizable impact on the semicondutor industry.

The news ended weeks of speculation about Nvidia's reported interest in the chip design company that became a major player in the semiconductor market, posing a serious challenge to giants like Intel.press release "We are joining arms with Arm to create the leading computing company for the age of AI," Nvidia Jensen Huang said in a letter to employees on Sunday, in a memo reviewed by Business Insider. "AI is the most powerful technology force of our time. Learning from data, AI supercomputers can write software no human can."

Nvidia has been a dominant vendor in the graphics chip market. In recent years, it has emerged as a major player in AI technologies which have required semiconductors with more computing power to process huge amounts of data.

 

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Not unexpected.

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SoftBank is close to selling off chipmaker Arm to Nvidia in $40 billion mega-deal - Business InsiderBusiness Insider is a fast-growing business site with deep financial, media, tech, and other industry verticals. Launched in 2007, the site is now the largest business news site on the web. Cool, replenishing the coffers after wework. But, why they want to sell arm?
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