Nvidia’s Huang Vows to Protect Arm’s IP Model

The chiefs of Nvidia and Arm made the case this week for regulatory approval of a proposed mega-merger, arguing the combined chip house would preserve the IP vendor’s business model since the acquisition is “complementary” and would drive AI-inspired innovation.

Nvidia, which announced its game-changing $40 billion deal for Arm last month, faces stiff regulatory scrutiny. The deal has also raised concerns about the fate of Arm’s developer-driven business model. Nvidia’s Jensen Huang and Arm’s Simon Segars both acknowledged those concerns, but predicted the deal would eventually gain regulatory approval. The CEOs discussed the matter in a fireside chat at the Arm Dev Summit on Tuesday (Oct. 6).

In defending the acquisition, Huang recounted a recent conversation in which he was told, “’You paid and arm and a leg for Arm.’” The Nvidia CEO said he did not dispute that assessment.

Arm Co-Founder Hermann Hauser slammed the proposed acquisition as

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