US FTC sues to block Nvidia takeover of Arm

Nvidia’s acquisition of Arm is in jeopardy now that the US Federal Trade Commissions has initiated legal action to block the 40+ billion dollar takeover. “This proposed deal would distort Arm’s incentives in chip markets and allow the combined firm to unfairly undermine Nvidia’s rivals. The FTC’s lawsuit should send a strong signal that we will act aggressively to protect our critical infrastructure markets from illegal vertical mergers that have far-reaching and damaging effects on future innovations,” stated FTC Bureau of Competition director Holly Vedova. Both the UK’s and the European Union’s antitrust authorities previously announced in-depth investigations into the deal.