NVIDIA announced its intention to buy ARM, a semiconductor company dedicated, among other things, to designing systems that enable mobile device processors. The deal was signed for 40 billion dollars.

In an official statement, NVIDIA claims to have agreed with SoftBank, responsible for ARM, the transaction in question. The future will put ARM’s efforts and intellectual property at the service of Artificial Intelligence (AI).

ARM was bought for $ 40 billion

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The acquisition simultaneously creates the largest computing company in the world and relaunches the industry’s efforts in the field of AI. The statement also informs the intention to grant ARM the maintenance of the UK headquarters and to maintain the strategy.

Based on “global customer neutrality” and operating under the open licensing model, a greater presence of the company in the mobile market is expected. Its solutions and technologies are present on smartphones, but will now go further.

According to NVIDIA, ARM will boost its presence in the computer market, expanding into autonomous cars and related areas. To this end, the acquirer made it known that it would reinforce investment in ARM’s R&D sector.

NVIDIA strengthens its investment in the AI ​​world

“We will create an open center of excellence in the area once home to giants like Isaac Newton and Alan Turing, for whom key NVIDIA technologies are named.” – Jensen Huang https://t.co/Wg3jgY6Dvx

– NVIDIA (@nvidia) September 14, 2020

Signing its commitment to ARM, NVIDIA made known its intentions to build an AI-based supercomputer. The project will feature ARM’s CPU architecture and will be developed at the company’s headquarters in Cambridge.

AI is the greatest technological force of our time, being responsible for launching a new era of computing. In the coming years, billions of computers will use AI to create a new Internet of Things (IoT), vastly larger than today’s Internet, for people. – says Jensen Huang, CEO of NVIDIA.

ARM will continue to work for other customers, maintaining its technology licensing model. That is, the new owner will not keep all of ARM’s intellectual property to itself, allowing it to preserve the current business model.

In any case, NVIDIA now has a redoubled advantage in the production and development of technologies, especially in the area of ​​graphics cards or GPUs. In other words, it has a great and new asset compared to its rival, AMD.

We therefore expect to see major technological advances in the field of AI, computing and consumer solutions to be announced by NVIDIA as well. The acquisition was approved by both companies and is now enforcing legal procedures.

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