NVIDIA to acquire Arm for USD 40 billion - Android

NVIDIA has recently announced the acquisition of NVIDIA to Arm Limited from the Softbank Group Corp. and the Softbank Vision Fund. The acquisition, which...

The post NVIDIA to acquire Arm for USD 40 billion appeared first on YugaTech | Philippines Tech News & Reviews.

NVIDIA has recently announced the acquisition of NVIDIA to Arm Limited from the Softbank Group Corp. and the Softbank Vision Fund.

The acquisition, which valued at USD 40 billion, will drive more innovation while expanding into high-growing markets. It is expected to be immediately accretive to NVIDIA’s non-GAAP gross margin and non-GAAP earnings per share.

NVIDIA will pay Softbank a total of USD 21.5 billion in NVIDIA common stock and USD 12 billion in cash, which includes USD 2 billion payable upon signing. While all of this is going, Arm will continue operations with its open-licensing model while maintaining global customer neutrality.

The acquisition, however, does not include Arm’s IoT Services Group. NVIDIA will also issue USD billion in equity to Arm employees.

The merge brings together NVIDIA’s leading AI computing platform with Arm’s vast ecosystem to creating the computing company positioned for the age of AI.

Now part of NVIDIA, Arm will continue its to operate its open-licensing model with 180 billion chips shipped to date. NVIDIA will also retain Arm’s brand identity and expand its global headquarters in Cambridge, United Kingdom by establishing a world-class AI research and education center. The company’s intellectual property will also remain within the sovereignty of the United Kingdom.

It will also build an Arm/NVIDIA-powered AI supercomputer for groundbreaking research in healthcare, robotics, and self-driving cars.

SoftBank says that it will remain committed to Arm’s long-term success through its ownership stake in NVIDIA, expected to be under 10%.

The acquisition is still subject to the customary closing conditions, including the receipt of regulatory for the U.K., China, the European Union, and the United States. Completion of the transaction is expected to take place within 18 months.

Source: NVIDIA

The post NVIDIA to acquire Arm for USD 40 billion appeared first on YugaTech | Philippines Tech News & Reviews.