Could Arm Holdings Become the Next Nvidia?
Back in 2020, Nvidia (NASDAQ: NVDA) declared it would buy U.K. chip designer Arm Holdings (NASDAQ: ARM) from SoftBank for $40 billion. That acquisition would have added Arm's chip designs, which are already used in more than 95% of the world's mobile devices, to Nvidia's massive chipmaking business.
However, that deal was terminated in 2022, after antitrust regulators claimed it would give Nvidia an unfair advantage against its industry peers. Nvidia would no longer have paid Arm licensing fees for its own Arm-based Tegra chips, but other chipmakers -- including Qualcomm, MediaTek, and Apple -- would still have paid Nvidia licensing fees for those designs.
Image source: Getty Images.
Source Fool.com
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