FTC sues to block Nvidia acquiring ARM

The Federal Trade Commission today sued to block U.S. chip supplier Nvidia Corp.'s $40 billion acquisition of U.K. chip design provider Arm Ltd. Semiconductor chips power the computers and technologies that are essential to our modern economy and society. The proposed vertical deal would give one of the largest chip companies control over the computing technology and designs that rival firms rely on to develop their own competing chips. The FTC's complaint alleges that the combined firm would have the means and incentive to stifle innovative next-generation technologies, including those used to run datacenters and driver-assistance systems in cars.

It seems increasingly unlikely that this acquisition will go through. I think that's a good thing - while I'd rather Nvidia purchase ARM than Apple, Google, Microsoft, or Amazon, an even better outcome would be a profitable, independent ARM.