EC to Probe Nvidia-Arm Deal
Nvidia will face a European roadblock to an acquisition of UK-based chip designer Arm. European Commission set a provisional deadline of 27 October to officially respond to an application Nvidia submitted early last month.
EC confirmed reports the Nvidia had offered various commitments around preserving competition last week. But Reuters reported the EC is unconvinced by the arrangements Nvidia offered and is likely to move to a full-scale investigation of the deal. The Commission had not asked rival chip companies or customers to respond to Nvidia’s pledges, which suggests the regulator was dissatisfied.
If the report proves accurate it would be another hurdle to Nvidia’s increasingly contentious move for Arm. The greatest opposition currently stems from the UK Competition and Markets Authority, though the proposed takeover also faces regulatory scrutiny in the US and China. US authorities have reportedly faced pressure to block the deal from big names including Google and Microsoft, while rival chip companies Intel and Qualcomm expressed an interest in Arm if the Nvidia move falls short.