Arm CEO expects regulators to ‘take a good look’ at the Nvidia deal | WHAT REALLY HAPPENED

Arm CEO expects regulators to ‘take a good look’ at the Nvidia deal

Arm Holdings CEO Simon Segars told CNBC that he expects regulators to “take a good look” at the company’s deal with U.S. chipmaker Nvidia.

Nvidia announced Sep. 13 that it plans to buy the British chip designer from Japan’s SoftBank in a $40 billion mega-deal but the acquisition has several hurdles to overcome.

“There are regulatory approvals to go through in many jurisdictions around the world,” Segars said Tuesday evening. “That is a drawn-out process. There’s a lot of interaction that has to go on with the regulators to provide the information that they want.”

When the deal was announced, Nvidia and Arm said they expected the deal to take 18 months to complete. “We’re about two months into that now and we still expect that it’s going to take the remaining 16 months to go through the process,” said Segars.

Arm CEO says we can overcome internal divisions to allow Nvidia to complete takeover

The Cambridge-headquartered firm has a joint venture called “Arm China” with Chinese private equity firm Hopu Investments. Arm China is headquartered in Shanghai, meaning China’s Ministry of Commerce and China’s State Administration for Market Regulation will have the right to review the proposed Nvidia deal.