There’s also the concern that Arm’s licensees – Nvidia’s “rivals” – including Apple would be forced to share sensitive information if the acquisition were to go through. “Cloud computing” refers to the increasingly popular computing business model in which large datacenter operators provide computing services remotely and/or directly offer computing resources for rent, as well as provide other support services to customers who can then run applications, host websites, or perform other computing tasks on the remote servers-i.e., “the cloud.” These new and emerging products leverage Arm’s technology to meet the performance, power efficiency, and customizability needs of modern datacenters that provide cloud computing services. Arm-Based CPUs for Cloud Computing Service Providers.DPU SmartNICs, which are advanced networking products used to increase the security and efficiency of datacenter servers and.These systems offer computer-assisted driving functions, such as automated lane changing, lane keeping, highway entrance and exit, and collision prevention
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High-Level Advanced Driver Assistance Systems for passenger cars.More specifically, the FTC sees the potential merger as harmful to competition in three key areas: The FTC’s lawsuit should send a strong signal that we will act aggressively to protect our critical infrastructure markets from illegal vertical mergers that have far-reaching and damaging effects on future innovations. This proposed deal would distort Arm’s incentives in chip markets and allow the combined firm to unfairly undermine Nvidia’s rivals.
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Tomorrow’s technologies depend on preserving today’s competitive, cutting-edge chip markets. The FTC’s complaint alleges that the combined firm would have the means and incentive to stifle innovative next-generation technologies, including those used to run datacenters and driver-assistance systems in cars.įTC Bureau of Competition Director Holly Vedova shared more in the announcement: The proposed vertical deal would give one of the largest chip companies control over the computing technology and designs that rival firms rely on to develop their own competing chips.
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Semiconductor chips power the computers and technologies that are essential to our modern economy and society.
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chip supplier Nvidia Corp.’s $40 billion acquisition of U.K. The Federal Trade Commission today sued to block U.S. The core concern from the FTC is that the acquisition would give Nvidia the “means and incentive to stifle innovative next-generation technologies, including those used to run datacenters and driver-assistance systems in cars.” Now that the FTC has concluded its investigations, it has announced that it is opposed to the Nvidia/Arm deal and is suing to block it (via The Verge). However, after the FTC investigated competition concerns around the deal this year, it has filed a lawsuit to block the acquisition.Īfter Nvidia publicly shared it was pursuing the purchase of Arm, we saw Qualcomm and others share objections with the Federal Trade Commission and other commissions around the world. Last year we learned that Nvidia was set to move forward with its plans to acquire chip designer Arm for an estimated $40 billion.