comment on this article

Full blown investigation

The news that the UK Government has launched a full-blown investigation into Nvidia’s takeover of Arm, the Cambridge chip designer, on national security and competition grounds has raised the stakes regarding this multi-billion deal.

The Digital Secretary Nadine Dorries has ordered a Phase Two investigation into the sale of Arm, with the inquiry being carried out by the Competition and Markets Authority (CMA), following an earlier investigation which found significant competition concerns over the deal.

According to Dorries, “Arm has a unique place in the global technology supply chain, and we must make sure the implications of this transaction are fully considered. The CMA will now report to me on competition and national security grounds and provide advice on the next steps.”

She went on to say that while the government’s commitment to the UK’s tech sector was ‘unwavering’ and although it welcomed foreign investment it needed to consider the implications of this transaction.

Arm’s designs are used in chips from many of Nvidia’s rivals including the likes of Apple, Samsung, and Qualcomm.

The CMA now has 24 weeks to conduct its investigation, although this can be extended by up to eight weeks. The European Commission also announced that it was undertaking an in-depth inquiry at the end of October.

However, despite the decision by the UK Government to instigate an inquiry, many still think that the deal will be cleared.

Author
Neil Tyler

Comment on this article


This material is protected by MA Business copyright See Terms and Conditions. One-off usage is permitted but bulk copying is not. For multiple copies contact the sales team.

What you think about this article:


Add your comments

Name
 
Email
 
Comments
 

Your comments/feedback may be edited prior to publishing. Not all entries will be published.
Please view our Terms and Conditions before leaving a comment.

Related Articles

Worrying times

News that UK companies might be shut out of the Galileo programme raises ...

Software and security

Last month Embedded World once again demonstrated why it’s described as the ...

Close to the edge

“We are entering a new era where artificial intelligence systems are helping to ...

Self-service repair

The news that Apple has announced a ‘self-service repair’ programme so that ...

Getting real with VR

Professor Robert Stone has been involved in the world of virtual, augmented and ...