It is said that Huawei and other companies are trying to prevent NVIDIA from acquiring arm


According to reports, Chinese technology companies, including Huawei, have expressed strong concerns to domestic regulators about NVIDIA’s acquisition of arm, which could lead to the $40 billion deal aborted.
According to the source, several of China’s most influential technology companies have been communicating with China’s State Administration of market supervision, hoping that the Department will either veto the deal or add additional conditions to ensure that they can continue to use arm’s technology. The biggest concern for these companies is that NVIDIA may force arm to stop working with Chinese customers.
NVIDIA is trying to acquire UK based arm from Softbank, which will put arm under US jurisdiction. In theory, this will lead to arm losing its neutral position in the chip industry. Softbank’s shares in the Japanese stock market closed slightly lower today.
Allowing NVIDIA to acquire arm could make it difficult for Huawei to acquire arm’s chip design, according to Anthea Lai, an analyst at the company’s intelligence. Arm architecture is the foundation of a series of Huawei products, including Kirin, Kunpeng, and shengteng.
Huawei declined to comment on the news. NVIDIA’s speech referred to the company’s CEO Huang Renxun’s earlier statement that he was confident that the deal would pass the review.
NVIDIA’s record breaking acquisition of arm has long been seen as a regulatory hurdle, and arm’s customers are also worried that the deal will affect future competition and give arm’s new owners an unfair advantage.
NVIDIA is one of the major suppliers of computer processors and high-end computing processors, and has competitive relationships with Intel, Qualcomm and Huawei. The design and instruction set of ARM are indispensable elements in a large number of mobile phone, automatic driving vehicle and sensor, and are also more and more important for servers and notebook computer.
Arm has been maintaining a neutral position before, and thus obtained rapid development. The company licensed technical design to hundreds of companies, and no company competed with it in design. Industry executives believe that it is in arm’s best interests to keep arm neutral and avoid alienating potential customers.
The deal now requires approval from China, the UK, the EU and the US, with regulators seeking advice from customers and competitors. NVIDIA and arm said they were confident of solving the difficulties, but could take as long as 18 months to obtain the necessary approvals.