Google, Microsoft, and Qualcomm aren’t happy about NVIDIA’s decision to acquire leading British semiconductor and software design company Arm, as they believe that the deal will harm competition. The news comes from Bloomberg, which published a story noting that the trio of tech giants have already complained to antitrust regulators and urged them to intervene. One of these companies reportedly wants the deal killed entirely.
“The acquisition would give Nvidia control over a critical supplier that licenses essential chip technology to the likes of Apple Inc., Intel Corp., Samsung Electronics Co., Amazon.com Inc. and China’s Huawei Technologies Co.,” Bloomberg explained.
“U.K.-based Arm is known as the Switzerland of the industry because it licenses chip designs and related software code to all comers, rather than competing against semiconductor companies. The concern is that if Nvidia owns Arm, it could limit rivals’ access to the technology or raise the cost of access.”
When the acquisition was announced in September, NVIDIA said that it would continue Arm’s open-licensing model to maintain the company’s level of neutrality, as well as retain its name and brand identity. NVIDIA has echoed that intention in a new statement.
“As we proceed through the review process, we’re confident that both regulators and customers will see the benefits of our plan to continue Arm’s open licensing model and ensure a transparent, collaborative relationship with Arm’s licensees,” a spokesperson said. “Our vision for Arm will help all Arm licensees grow their businesses and expand into new markets.”