NVIDIA Sells Remaining $140 Million Stake in Arm, Keeps Licensing Ties

Once a target of the largest industry acquisition that was halted by market regulators, NVIDIA has officially divested all its holdings in Arm Holdings PLC by selling 1.1 million shares, valued at about $140 million at the time of writing. Importantly, this does not end the NVIDIA-Arm relationship, as NVIDIA continues to be a customer and partner, licensing Arm IP and its instruction set for its older “Grace” and newer “Vera” CPUs. If readers recall, NVIDIA announced in late 2020 that it was acquiring Arm Ltd. in a deal valued at $40 billion. However, regulators from the UK and EU blocked the deal to preserve fair market competition, citing concerns that the NVIDIA-Arm deal would harm competition and stifle innovation. NVIDIA even paid a break-up fee of $1.25 billion as the deal collapsed under regulatory pressure.

As mentioned, NVIDIA’s partnership with Arm is not limited to investment or stock ownership, as the company utilizes its IP and instruction set across a range of products. For example, NVIDIA has Arm-based SoCs in various forms in its embedded computing unit with Jetson modules and mini-computers that power everything from robotics to automated driving development in modern vehicles. Additionally, NVIDIA recently began offering its “Vera” CPUs as standalone server CPUs designed to compete with the industry’s latest and greatest x86-based designs from AMD and Intel, demonstrating that NVIDIA is serious about being an Arm ISA licensee for the foreseeable future,…