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The Federal Trade Commission (FTC) will sue a lawsuit to prevent NVIDIA, saying that there is a competitive concern for the acquisition of ARM. "NVIDIA may have excessive initiative in the technology / design that rival companies are requested by rival companies in developing competitive unique chips due to the acquisition of ARM. New companies will definitely obtain both means and incentives to suppress market innovation. " ARM's Simon Segars (left) and NVIDIA's Jensen Huang's NVIDIA's proposal for ARM has been concerned about the ARM from the moment when the rumors began to flow in the summer of 2020. The opposition has been erupting since the beginning, but recently the content seems to have been organized. In November 2021, the United Kingdom expanded its investigation on acquisitions due to concerns about both market competition and national security. FTC also expressed concerns about the acquisition in the same month. NVIDIA stated that "we will continue to confront the opposition and proceed with efforts to realize the acquisition of ARM," and issued the following statement as a response to the FTC. "We want to continue to show that the ARM acquisition will benefit the entire industry and promote competition in the next step after the FTC process. NVIDIA is ARM's research and development. By providing funds, accelerating roadmaps, and expanding the product series, we want to support competition, create more opportunities through ARM's licensing, and expand the ARM Eco System. NVIDIA has been given any more comments, ensuring that all licensed models can be used to ensure all licensed models and all of the Licenseians now and in the future. " What is the judgment of the Chinese authorities? On the other hand, the acquisition is still waiting for certification (or denial) from China. Remember, China has a past where the project was buried by simply refusing to participate in the authentication process during the merger of NXP Semiconductors and Qualcomm. The Chinese side has made a strange claim about the ARM's joint venture in China, as well as international trade disputes and political tensions, in the background of China's decision on NVIDIA's ARM acquisition. There are things. ARM had previously tried to dismiss ALLEN WU, a CEO of the joint venture business, but he still has a physical right, so he is still ARM (a minority of the joint venture business. He is resisting the instructions of the investor. "Jensen Huang is not withdrawn." Jim McGregor, appointed analyst at the US market research company Tirias Research, said, "I was surprised this time, FTC is still a concern about the acquisition of NVIDIA / ARM. It is the timing of re -investigation. FTC may not be able to proceed with the lawsuit until the re -investigation is completed. " Mr. McGREGOR also said that NVIDIA is strengthening its efforts to complete the acquisition, "There is no idea that JENSEN HUANG, the CEO of NVIDIA, will not fall down. You can say that there is NVIDIA. " Of course, Huang may have caused a problem with its bravery. "JENSEN initially declared that the acquisition should be smooth, but it didn't seem to be useful, but it didn't help. He said that the result was a further detailed investigation. The idea that it would simply be considered to be considered to simply complement the acquisition of Mellanox Technology. " NVIDIA announced in September 2020 that it would acquire ARM from SoftBank. The acquisition amount presented at this time was $ 40 billion, but it is likely that the stock price fluctuations have now risen to about 54 billion dollars. In any case, it will definitely be the largest acquisition in the semiconductor industry. Following the announcement of the acquisition, the fear of ARM License, in a blink of an eye, the fear that NVIDIA would take power to the ARM business has expanded. As FTC claims, "NVIDIA may inhibit innovation by neglecting important technology for competitors and blocking access to technology. I wonder if it will flow. " A company that distrusted the merger acquisition has expressed such general anxiety to regulatory authorities. FTC narrowed down these opinions as concrete concerns and listed them in the complaint. FTC argues that "NVIDIA's ARM acquisition will hinder competition in three world markets that NVIDIA is competing with ARM -based products." The content is as follows.・ High -performance ADAS for passenger cars (advanced driving support system): As a computer -based operation function, provide automatic lane change, lane maintenance support, highway, collision avoidance, etc. ・ DPU Smartnic: Security of data center server. ARM -based CPU for high -performance network products and cloud computing service providers to enhance efficiency: This new product is required for existing data centers that apply ARM technology and provide cloud computing services. Despite these concerns that respond to performance, power efficiency, and customizability, some ARM Licensei (including NVIDIA competitors) have supported the merger. What if the acquisition failed? However, if the acquisition fails, the ARM options may be limited. In addition, ARM Licensei (including NVIDIA rivals) may be dangerous. ARM may be able to find another buyer, but McGregor is skeptical. When SoftBank started selling ARM, only NVIDIA raised his hand. Since then, McGregor points out that "ARM has not been a competitive bidding to maintain a more neutral position," MCGREGOR pointed out. The next measure was probably IPO (new public shares), and SoftBank and ARM were exploring the possibilities before NVIDIA raised their name for the acquisition. "Even in ARM, which was successful in a business model that licenses semiconductor technology IPs, McGregor could only grow to a relatively small scale compared to the rivals of the processor, such as Intel. There is no situation. If there is no resources of large companies that can invest in R & D, such as NVIDIA, there is a possibility that even ARM may technically remove. "NVIDIA invests ARM. McGregor is trying to guarantee everyone to maintain a business structure. So can competitors trust NVIDIA? May or difficult. McGREGOR points out that NVIDIA is a fierce competition company in competitive industries and businesses. "For NVIDIA, it's stupid to ruin the ARM business model." "If the acquisition is not enacted, NVIDIA is in Softbank by the breakbank 12 due to the broken clause..It is said that it will bear the $ 500 million dollar. "
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