Nvidia’s plan to dominate chip design stymied by antitrust angst

Nvidia's plans to buy out fellow chip designer Arm continues to flounder, as antitrust bodies and competitors move to block the deal. — AP Photo

When Nvidia Corp announced plans to buy Arm Ltd in September 2020, the deal was more than just the chip industry’s largest-ever acquisition – the company said it would supercharge the technology found in everything from cars to smartphones.

Now, more than a year later, that audacious plan is in peril. The US Federal Trade Commission sued to block the US$40bil (RM169.14bil) purchase on Thursday, calling it a threat to semiconductor innovation. Arm customers have lined up against the transaction. And investors and analysts have written off the idea of it ever happening.