US Government Sues to Block $40 Billion Nvidia-Arm Chip Deal

US Government Sues to Block $40 Billion Nvidia-Arm Chip Deal
People gather in the Nvidia booth at the Mobile World Congress mobile phone trade show in Barcelona, Spain, on Feb. 27, 2014. Manu Fernandez/AP Photo
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The Federal Trade Commission on Thursday sued to block graphics chip maker Nvidia’s $40 billion purchase of chip designer Arm, saying the deal would create a powerful company that could hurt the growth of new technologies.

Nvidia Corp., based in Santa Clara, California, said in September 2020 that it was buying United Kingdom-based Arm Ltd. from Japanese technology giant Softbank to “create the world’s premier computing company for the age of AI.”