The FTC, in turn, wants to block the takeover of ARM by NVIDIA.

The FTC is now opposing ARM’s takeover by NVIDIA. The American agency hopes it can prevent the deal.

Last year it was announced that NVIDIA would buy ARM, a company whose technology and design is used in most of the chips we can find in devices from Qualcomm, Apple, Samsung and many others today. However, this acquisition made many clench their teeth, many tech giants really looked at this deal very negatively for the market balance.

FTC opposes NVIDIA ARM buyout

This acquisition was so potentially fraught with consequences that in the United Kingdom the government announced that it intended to block the agreement. It turns out that today in the United States, the Federal Trade Commission (FTC) decided in turn to oppose this takeover. So much so that the FTC just filed a lawsuit to try to prevent NVIDIA’s attempts to buy ARM.

The American agency hopes it can prevent the deal.

According to an official statement from the FTC: “The proposed vertical agreement will give one of the world’s largest chip companies control over the technologies and designs that competing companies rely on to develop their own chips. The FTC complaint alleges that this new organization will have the means and motivation to stifle innovative next-generation technologies, including those used to power data centers and driver assistance systems in automobiles.”

Although NVIDIA is known to many of us as a manufacturer of graphics cards for computers, the company actually has a much more diverse business, including technologies that can be used to control self-driving cars around the world, the future, artificial intelligence, and more. If NVIDIA accidentally bought ARM, the American company would undoubtedly become a superpower in the technology industry, with market consequences that we can imagine.