Electronics

On June 16, Nvidia (NVDA.US) submitted to the EU anti-monopoly regulator the US$40 billion acquisition of SoftBank's ARM program was forced to be delayed.

It is reported that three people familiar with the matter said that the European Commission raised more questions than Nvidia expected.

There are reports that the antitrust agency has told Nvidia that if they do not submit documents before the end of this month, they will have to wait until September because of the summer vacation of European staff. The potential delay of the transaction may cause it to exceed the expected completion time of the acquisition in March 2022.

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The potential delay is due to the fact that the transaction has been opposed by competitors and customers on antitrust grounds since the announcement. There are reports that if Nvidia’s acquisition fails, Qualcomm (QCOM.US) will be willing to invest in ARM.

In February of this year, there were reports that Qualcomm informed regulators around the world that it opposed Nvidia’s acquisition of ARM. There are also reports that companies such as Google (GOOG.US) and Microsoft (MSFT.US) are also complaining about the transaction to antitrust officials.

In addition, it is reported that China's anti-monopoly agency has not formally accepted the review of the transaction. In recent months, third parties from China have been communicating their concerns about Nvidia transactions to Chinese regulators.

According to reports citing sources, China's State Administration for Market Regulation ("SAMR") has held meetings with all parties concerned about the transaction.

Last week, there were rumors that Nvidia had submitted a report to relevant parties on the ARM transaction in order to obtain China’s approval.