The UK Competition and Market Authority said on Wednesday that it plans to investigate Nvidia Corp’s NVDA.
planned deal for Arm Ltd. “The CMA should consider whether, after the acquisition, Arm has an incentive to withdraw, raise prices or reduce the quality of its IP licensing services to NVIDIA’s rivals,” said the CMA in a statement. CMA Chief Executive Andrea Coscelli said in the statement that the investigation will seek to ensure that Arm’s Nvidia business “does not result in consumers facing more expensive or inferior products.” A formal investigation begins later this year. Nvidia announced in September that it planned to buy Arm from Softbank Group Corp. in a business valued at $ 40 billion in cash and shares. Nvidia’s shares fell 1.8% on Wednesday morning trading. They’ve lost 4% over the past three months like the S&P 500 SPX,
added 10.5%.
