If you click on a link and make a purchase we may receive a small commission. Read our editorial policy.

Nvidia pays an Arm and a leg for UK chip designer

Chipping forecast.

Graphics giant Nvidia will splash $40bn (£31bn) on UK chip design firm Arm.

Nvidia, whose technology lies in millions of PC and consoles, was already a big client of Arm, whose chips also power numerous other devices - including Android devices and iPhones made by Apple, Samsung and Huawei.

The deal has yet to be finalised and is subject to approval, but a UK government source today told BBC News the sale would not be blocked, despite previous concerns.

Arm co-founders Hermann Hauser and Tudor Brown have said the sale risks Arm's independence as a chips maker for Nvidia's rivals - and that it could also act as a backdoor to US influence. The fear is Arm, which also makes chips for Chinese companies, could become a pawn in a Washington trade war.

In response, Nvidia boss Jensen Huang has pledged Arm will stay neutral and will remained headquartered in Cambridge, where a new AI research centre will be built, growing the company's UK employment in the process.

The Japan-based Softbank paid $32bn for Arm only four years ago.

Become a Eurogamer subscriber and get your first month for £1

Get your first month for £1 (normally £3.99) when you buy a Standard Eurogamer subscription. Enjoy ad-free browsing, merch discounts, our monthly letter from the editor, and show your support with a supporter-exclusive comment flair!

Tagged With
About the Author
Tom Phillips avatar

Tom Phillips

Deputy Editor

Tom is Eurogamer's deputy editor. He writes lots of news, some of the puns and makes sure we put the accent on Pokémon.

Comments
Eurogamer.net logo

Buy things with globes on them

And other lovely Eurogamer merch in our official store!

Explore our store
Eurogamer.net Merch