UK Regulator Says Nvidia-Arm Deal Could Stifle Innovation

By Nitin Dahad, EETimes (August 23, 2021)

The U.K. competition regulator has concluded that an in-depth probe of Nvidia’s proposed acquisition of Arm is warranted due to competition concerns and the potential for stifling technology innovation.

The Competition and Markets Authority (CMA), which last month sent a summary to the government’s Department for Digital, Culture, Media and Sport, has since published its report. The report warns the proposed deal would enable Nvidia to harm competitors by restricting access to Arm’s intellectual property. While Nvidia has offered “behavioral remedies” to ensure rival access to Arm’s technology, the CMA said the proposed remedy does not alleviate its concerns.

“We’re concerned that Nvidia controlling Arm could create real problems for Nvidia’s rivals by limiting their access to key technologies, and ultimately stifling innovation across a number of important and growing markets,” said CMA Chief Andrea Coscelli. “This could end up with consumers missing out on new products, or prices going up.”

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