The Korea Times
amn_close.png
amn_bl.png
National
  • Politics
  • Foreign Affairs
  • Multicultural Community
  • Defense
  • Environment & Animals
  • Law & Crime
  • Society
  • Health & Science
amn_bl.png
Business
  • Tech
  • Bio
  • Companies
amn_bl.png
Finance
  • Companies
  • Economy
  • Markets
  • Cryptocurrency
amn_bl.png
Opinion
  • Editorial
  • Columns
  • Thoughts of the Times
  • Cartoon
  • Today in History
  • Blogs
  • Tribune Service
  • Blondie & Garfield
  • Letter to President
  • Letter to the Editor
amn_bl.png
Lifestyle
  • Travel & Food
  • Trends
  • People & Events
  • Books
  • Around Town
  • Fortune Telling
amn_bl.png
Entertainment & Arts
  • K-pop
  • Films
  • Shows & Dramas
  • Music
  • Theater & Others
amn_bl.png
Sports
amn_bl.png
World
  • SCMP
  • Asia
amn_bl.png
Video
  • Korean Storytellers
  • POPKORN
  • Culture
  • People
  • News
amn_bl.png
Photos
  • Photo News
  • Darkroom
amn_NK.png amn_DR.png amn_LK.png amn_LE.png
  • bt_fb_on_2022.svgbt_fb_over_2022.svg
  • bt_twitter_on_2022.svgbt_twitter_over_2022.svg
  • bt_youtube_on_2022.svgbt_youtube_over_2022.svg
  • bt_instagram_on_2022.svgbt_instagram_over_2022.svg
The Korea Times
amn_close.png
amn_bl.png
National
  • Politics
  • Foreign Affairs
  • Multicultural Community
  • Defense
  • Environment & Animals
  • Law & Crime
  • Society
  • Health & Science
amn_bl.png
Business
  • Tech
  • Bio
  • Companies
amn_bl.png
Finance
  • Companies
  • Economy
  • Markets
  • Cryptocurrency
amn_bl.png
Opinion
  • Editorial
  • Columns
  • Thoughts of the Times
  • Cartoon
  • Today in History
  • Blogs
  • Tribune Service
  • Blondie & Garfield
  • Letter to President
  • Letter to the Editor
amn_bl.png
Lifestyle
  • Travel & Food
  • Trends
  • People & Events
  • Books
  • Around Town
  • Fortune Telling
amn_bl.png
Entertainment & Arts
  • K-pop
  • Films
  • Shows & Dramas
  • Music
  • Theater & Others
amn_bl.png
Sports
amn_bl.png
World
  • SCMP
  • Asia
amn_bl.png
Video
  • Korean Storytellers
  • POPKORN
  • Culture
  • People
  • News
amn_bl.png
Photos
  • Photo News
  • Darkroom
amn_NK.png amn_DR.png amn_LK.png amn_LE.png
  • bt_fb_on_2022.svgbt_fb_over_2022.svg
  • bt_twitter_on_2022.svgbt_twitter_over_2022.svg
  • bt_youtube_on_2022.svgbt_youtube_over_2022.svg
  • bt_instagram_on_2022.svgbt_instagram_over_2022.svg
  • Login
  • Register
  • Login
  • Register
  • The Korea Times
  • search
  • all menu
  • Login
  • Subscribe
  • Photos
  • Video
  • World
  • Sports
  • Opinion
  • Entertainment & Art
  • Lifestyle
  • Finance
  • Business
  • National
  • North Korea
  • 1

    Korean Lunar New Year vs. Chinese Lunar New Year

  • 3

    Garbage collector mistakes sex doll for corpse

  • 5

    Cute canine film 'My Heart Puppy' reunites Yoo Yeon-seok, Cha Tae-hyun

  • 7

    Hybe acquires 56.1 percent stake in AI sound startup Supertone

  • 9

    Netflix announces password sharing crackdown in Korea

  • 11

    Korea seeks measures to better protect foreign workers

  • 13

    South Korea, US to expand size and content of joint military drills

  • 15

    Popular travel YouTuber recalls painful memories of being bullied at school

  • 17

    Samsung unveils new Galaxy S23 smartphone

  • 19

    Holy Moly concert series brings 4 punk bands to Haebangchon

  • 2

    INTERVIEWProduction company AStory expects great success with 'Extraordinary Attorney Woo' franchise

  • 4

    TWICE becomes first K-pop group to win Billboard Women in Music award

  • 6

    Free subway rides for elderly emerge as headache for Seoul mayor

  • 8

    Korea ranks 31st in international corruption perception index in 2022

  • 10

    US bill introduced to honor Korean War hero

  • 12

    Retailers return to Myeong-dong as more foreign tourists visit

  • 14

    Samsung refuses to cut chip output despite plunging profits

  • 16

    Cyber University of Korea offers online Korean language programs for foreigners

  • 18

    4 South Korean activists arrested for executing orders from Pyongyang

  • 20

    Is non-consensual sex not rape?

Close scrollclosebutton

Close for 24 hours

Open
  • The Korea Times
  • search
  • all menu
  • Login
  • Subscribe
  • Photos
  • Video
  • World
  • Sports
  • Opinion
  • Entertainment & Art
  • Lifestyle
  • Finance
  • Business
  • National
  • North Korea
Business
  • Tech
  • Bio
  • Companies
Thu, February 2, 2023 | 20:08
Tech
Chip guru casts doubt on Nvidia buying Arm
Posted : 2020-08-19 17:13
Updated : 2020-08-20 12:24
Baek Byung-yeul
Print PreviewPrint Preview
Font Size UpFont Size Up
Font Size DownFont Size Down
  • facebook
  • twitter
  • kakaolink
  • whatsapp
  • reddit
  • mailto
  • link
Nvidia founder and CEO Jensen Huang / Courtesy of Nvidia Korea
Nvidia founder and CEO Jensen Huang / Courtesy of Nvidia Korea

By Baek Byung-yeul

U.S. graphic chip giant Nvidia is reportedly closing in on a deal to acquire British chip-design company Arm, but a prominent semiconductor industry analyst says Nvidia is unlikely to create synergy effects from a buyout.

Jim Handy, a renowned U.S.-based analyst working for Objective Analysis, was giving his view on the controversial race to purchase the British tech firm, which was put up for sale by its mother company SoftBank of Japan.

He said the business models of the two companies are not complementary and therefore chances are slim that Nvidia would gain from it.

"Nvidia sells graphic chips (GPUs) and GPU boards that are based on those processors," Handy told The Korea Times, Wednesday. "This would imply that there is very little synergy between them and Arm."

Given Nvidia is selling GPUs and Arm is licensing its chip-design architecture, he said the combined company would also have no cost-saving effect.

"Usually companies acquire other companies who are in similar businesses," Handy said. "For example, if Arm licenses processors and another company licenses something else, then the two companies can merge and reduce the two sales forces down to one to save money."

He added, "I can't think of anything that Nvidia does that is similar to Arm's business practices. This implies that there would be no cost savings for the combined company if Nvidia acquired Arm."

SoftBank is considering either selling Arm or going through with an initial public offering (IPO) for its affiliate, as the Japanese company is cash-strapped after its $100 billion Vision Fund recorded losses for two straight quarters.

According to a recent report from London-based newspaper the Evening Standard, Nvidia is in exclusive talks to acquire Arm and the purchase process will be completed by the end of summer.

But Arm, which licenses its mobile chip architecture design to other companies such as Apple, Samsung Electronics and Qualcomm, is reportedly being purchased by a consortium led by several parties in the chip industry.

Nvidia is actively expanding its operations at a time when its graphic chips are increasingly used in emerging technologies such as artificial intelligence and machine learning. Based on this, the company acquired computing networking company Mellanox Technologies for $7 billion in April and also announced a plan to acquire networking software company Cumulus Networks in May.

However, industry analysts said chances still look slim that Nvidia would be the sole suitor for Arm because it would be difficult for the graphic chip maker to win approval from fair trade bodies in strong semiconductor industry countries.

Handy previously told The Korea Times that the consortium will be comprised of "fabless" companies or intelligent system design companies such as Rambus, Cadence and Synopsys because these firms are similar to Arm, generating revenue through intellectual property licensing.

Samsung, the world's largest memory chip maker, is considering acquiring between 3 and 5 percent of Arm to boost its plan to become a global leader even in the logic chip sector within a decade. The Korea Times was the first to report this.

The analyst also questioned why industry officials and analysts think that Arm must be purchased by other players, adding Arm could find a way to make a living by itself.

"What I don't understand is why people think that Arm must be acquired," he said. "I would think that it could be spun off as an independent company."


Emailbaekby@koreatimes.co.kr Article ListMore articles by this reporter
 
Top 10 Stories
1Garbage collector mistakes sex doll for corpse Garbage collector mistakes sex doll for corpse
2Free subway rides for elderly emerge as headache for Seoul mayor Free subway rides for elderly emerge as headache for Seoul mayor
3Korea seeks measures to better protect foreign workers Korea seeks measures to better protect foreign workers
4Retailers return to Myeong-dong as more foreign tourists visit Retailers return to Myeong-dong as more foreign tourists visit
5Samsung unveils new Galaxy S23 smartphone Samsung unveils new Galaxy S23 smartphone
64 South Korean activists arrested for executing orders from Pyongyang 4 South Korean activists arrested for executing orders from Pyongyang
7Is non-consensual sex not rape? Is non-consensual sex not rape?
8President pledges support for Korean chipmakers to overcome crisis President pledges support for Korean chipmakers to overcome crisis
9Seoul city council under fire for sexual conduct guidelines for teachers Seoul city council under fire for sexual conduct guidelines for teachers
10Income gap widening among workers Income gap widening among workers
Top 5 Entertainment News
1[INTERVIEW] Production company AStory expects great success with 'Extraordinary Attorney Woo' franchise INTERVIEWProduction company AStory expects great success with 'Extraordinary Attorney Woo' franchise
2TWICE becomes first K-pop group to win Billboard Women in Music award TWICE becomes first K-pop group to win Billboard Women in Music award
3Cute canine film 'My Heart Puppy' reunites Yoo Yeon-seok, Cha Tae-hyun Cute canine film 'My Heart Puppy' reunites Yoo Yeon-seok, Cha Tae-hyun
4AmorePacific Museum of Art brings Joseon-era folding screens to center stage AmorePacific Museum of Art brings Joseon-era folding screens to center stage
5$120,000 banana, praying Hitler: Infamous art world prankster Maurizio Cattelan's first Seoul outing $120,000 banana, praying Hitler: Infamous art world prankster Maurizio Cattelan's first Seoul outing
DARKROOM
  • Nepal plane crash

    Nepal plane crash

  • Brazil capital uprising

    Brazil capital uprising

  • Happy New Year 2023

    Happy New Year 2023

  • World Cup 2022 Final - Argentina vs France

    World Cup 2022 Final - Argentina vs France

  • World Cup 2022 France vs Morocco

    World Cup 2022 France vs Morocco

CEO & Publisher : Oh Young-jin
Digital News Email : webmaster@koreatimes.co.kr
Tel : 02-724-2114
Online newspaper registration No : 서울,아52844
Date of registration : 2020.02.05
Masthead : The Korea Times
Copyright © koreatimes.co.kr. All rights reserved.
  • About Us
  • Introduction
  • History
  • Contact Us
  • Products & Services
  • Subscribe
  • E-paper
  • RSS Service
  • Content Sales
  • Site Map
  • Policy
  • Code of Ethics
  • Ombudsman
  • Privacy Statement
  • Terms of Service
  • Copyright Policy
  • Family Site
  • Hankook Ilbo
  • Dongwha Group