Arm race resumes

Qualcomm is eyeing a stake in Arm, according to reports. It plans to bring together a consortium to acquire the UK chip designer.

This move comes after NVIDIA’s US$66 billion bid for Arm fell through due to regulartory concerns and industry resistance in February.

One of the key reasons for the failed acquisition was the creation of a dominant player and the loss of Arm’s independence. Many chipmakers rely on Arm for their design.

Qualcomm aims to overcome this by cobbling together a consortium, thereby giving the assurance that Arm will remain vendor neutral in the highly competitive semiconductor space.

The ongoing global chip shortage amid rising demand from all sorts of devices that rely on semiconductors certainly makes Arm an attractive target.

Photo: Pok Rie

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