Nvidia Arm Multiple

But consider that arm had revenue growth of just 1 5 in 2019 and 7 5 in 2020.

Nvidia arm multiple. The cash and stock deal will see nvidia buy the semiconductor and ip design. Nvidia paid about 20 6 times those 2020 sales for arm about the same as the 20 times sales softbank paid in 2016. The cambridge based company was bought by softbank four years ago for 32. Following a number of rumors and leaks nvidia this evening announced that it is buying arm limited for 40 billion.

Arm does have gpu and npu neural processing unit used for ai acceleration ip and chip designs and even some that theoretically compete with nvidia in the data center market. Nvidia bluefield data processing unit. Co founder and ex president of arm holdings tudor brown says that softbank s projected sale of the chip company to nvidia is the result of a bungled business strategy that saw the fund throw too much money at arm and prioritise the wrong business areas. London regulators in china could be a major barrier in nvidia s attempt to buy u k.

In the full press statement nvidia cited multiple ways for the company to leverage arm s research and development r d and chip designs to accelerate its plans for artificial intelligence a i. Nvidia s proposed deal to buy british chipmaker arm is already facing push back from china. The mega deal which would create the. Chipmaker arm from softbank for 40 billion according to analysts.