Arm isn’t as well known as chipmakers Qualcomm and Intel, but its work lies behind the processors inside many of the world’s mobile phones because it licenses chip designs and related technology to companies like Apple, Samsung and Qualcomm.
SoftBank purchased the UK-based Arm in 2016 for billion with the intent of bolstering its internet of things division. Nvidia had said it expected the tie-up to boost its artificial intelligence ambitions.
SoftBank said it now plans to pursue an IPO for Arm in 2023, in developments reported earlier by the Financial Times on Monday. The IPO is estimated to be worth as much as billion.
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“Arm has a bright future, and we’ll continue to support them as a proud licensee for decades to come,” Nvidia CEO Jensen Huang said in a statement. “Though we won’t be one company, we will partner closely with Arm.”
SoftBank and Nvidia announced Tuesday they had terminated their deal to sell chipmaker Arm to Nvidia, citing “regulatory challenges” as a factor in the decision. The acquisition was expected to be worth billion, a deal described as the largest ever in the chip industry.
Arm also announced that Simon Segars would step down as chief executive and a member of the board, with President Rene Haas assuming his duties.
