(Pocket-lint) - Nvidia has reportedly halted all efforts to acquire Arm for over $40 billion after a year and a half of trying amid intense regulatory scrutiny.
According to three anonymous sources who spoke to the Financial Times, the deal - first announced in September 2020 - has fallen through and is no longer on the table. That means Nvidia will likely have to spend up to $1.25 billion to Arm owner SoftBank for not going through with the transaction.
Arm CEO Simon Segars will also lose his job now, the report said.
The deal would have given graphics giant Nvidia total control of the legendary chip designer, a British company with architecture and intellectual property crucial to most phones and tablets ever manufactured, as well as server chips and even Apple products (such as Apple's Arm-powered MacBooks). Pocket-lint has contacted Nvidia for a comment and to confirm the status of the deal.
The Federal Trade Commission also sued to stop the acquisition.
Arm, which is based in Cambridge, UK, has grown from the days of its Advanced RISC Machine processor inside the BBC and Acorn machines of the 80s into one of the biggest technology companies in the world. After becoming a public company, it is now largely owned by Japan's SoftBank.
Ironically, SoftBank once owned a stake in Nvidia, but sold it in 2019.
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