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Tag: Nvidia

  • Get Ready for Another Nvidia GPU Crunch

    Get Ready for Another Nvidia GPU Crunch

    Gamers may enjoy a ready supply of Nvidia GPUs, but that may soon change as the AI market heats up.

    During the pandemic and crypto heyday, Nvidia’s GPUs were in short supply. The sudden uptick in demand for personal computers and crypto mining rigs combined to drive the price of Nvidia’s GPUs through the roof and make it almost impossible to actually buy one.

    Those days may return faster than anyone — except Nvidia, of course — may like. At the GTC 2023 Keynote yesterday, NVIDIA CEO Jensen Huang made it clear that Nvidia is all-in on AI.

    “We are at the iPhone moment of AI,” Huang said during his keynote, in which he touted the number of companies rolling out Nvidia’s AI systems. The list of companies includes Atos, AWS, Cirrascale, CoreWeave, Dell, Gigabyte, HPE, Lambda, Lenovo, Oracle, QCT, and Supermicro.

    As TechRadar’s John Loeffler points out, the increased demand for Nvidia’s chips in the AI market could eventually force the company to choose between the consumer gaming market and the more profitable commercial market. This could lead to a significant reduction in available GPUs, or it could lead to Nvidia pulling out of the market altogether.

  • Yes, Nvidia’s Latest Driver Is Causing CPU Spikes

    Yes, Nvidia’s Latest Driver Is Causing CPU Spikes

    Nvidia’s latest GeForce driver is the culprit in CPU spikes users have been experiencing after playing 3D games.

    Users began experiencing issues after the February 28th update that brought version 531.18 of the driver. In a company forum post, a member of Nvidia’s staff acknowledged the issue in the release notes:

    Higher CPU usage from NVIDIA Container might be observed after exiting a game [4007208]

    Despite the fairly benign description, the issue appears to be having significantly worse effects in real-life.

    One user wrote the following:

    It causes the “Nvidia container” process to load on CPU by 20-30% after games, randomly, which leads to stutters in the operating system until you reboot it. (Windows 11 latest, RTX 3090)

    The company is promising a fix Tuesday, March 7.

  • Jaguar Land Rover Goes All-In On Self-Driving

    Jaguar Land Rover Goes All-In On Self-Driving

    Jaguar Land Rover appears to be going all-in on self-driving tech, with plans for three new European engineering hubs.

    Self-driving tech is the next big thing for the automotive industry, with virtually every automaker working to develop it. According to Reuters, Jaguar Land Rover is building three new engineering hubs in Europe as part of its partnership with Nvidia, a firm that is at the heart of the AI revolution.

    The new hubs will be located in Munich, Bologna and Madrid, and were chosen because of their proximity to concentrations of digital engineering specialists.

    The company expects to create at least 100 jobs focused “on developing driver assistance systems and artificial intelligence for self-driving cars of the future.”

  • Microsoft and Nvidia Partner to Build Cloud-Based Supercomputer

    Microsoft and Nvidia Partner to Build Cloud-Based Supercomputer

    Microsoft and Nvidia are teaming up to build a cloud-based supercomputer with a focus on artificial intelligence (AI).

    Nvidia chips are staples in AI development, with GPUs offering a number of performance benefits over traditional CPUs. Microsoft and Nvidia are collaborating to combine Nvidia’s GPUs with Microsoft’s Azure cloud computing platform.

    The companies say the result of the collaboration will be one of the most powerful cloud-based AI supercomputers in the world. In addition, as part of the collaboration, Nvidia will use Azure virtual machine instances to further AI development.

    “AI technology advances as well as industry adoption are accelerating. The breakthrough of foundation models has triggered a tidal wave of research, fostered new startups and enabled new enterprise applications,” said Manuvir Das, vice president of enterprise computing at NVIDIA. “Our collaboration with Microsoft will provide researchers and companies with state-of-the-art AI infrastructure and software to capitalize on the transformative power of AI.”

    “AI is fueling the next wave of automation across enterprises and industrial computing, enabling organizations to do more with less as they navigate economic uncertainties,” said Scott Guthrie, executive vice president of the Cloud + AI Group at Microsoft. “Our collaboration with NVIDIA unlocks the world’s most scalable supercomputer platform, which delivers state-of-the-art AI capabilities for every enterprise on Microsoft Azure.”

  • Nvidia Designing Chips for China That Are Compliant With US Sanctions

    Nvidia Designing Chips for China That Are Compliant With US Sanctions

    Nvidia is designing an advanced chip for the Chinese market that are designed to be compliant with US restrictions.

    The US is trying to prevent China from gaining access to advanced semiconductors in an effort to maintain its technological dominance. The effort has been largely successful, with reports indicating China’s semiconductor industry has been all but annihilated.

    According to Reuters, China may be getting some help from Nvidia. The company has managed to create a semiconductor that is advanced, yet still meets US restrictions. The new chip, the A800, could help Nvidia avoid hundreds of millions in lost revenue.

    “The A800 looks to be a repackaged A100 GPU designed to avoid the recent Commerce Department trade restrictions,” said Wayne Lam, an analyst at CCS Insight.

    “China is a significant market for Nvidia and it makes ample business sense to reconfigure your product to avoid trade restrictions,” said Lam.

    The news comes on the heels of a report that Chinese firms are throttling the performance of various semiconductor designs in an effort to circumvent the sanctions.

  • TSMC Stops Production for Chinese Biren Technology Amid US Sanctions

    TSMC Stops Production for Chinese Biren Technology Amid US Sanctions

    Pressure is mounting on China’s semiconductor industry as TSMC has stopped making chips for Chinese startup Biren Technology.

    TSMC is the world’s leading semiconductor maker. Although based in Taiwan, the company is still subject to US export rules since it uses technology based on US tech. The US has been cracking down on China’s semiconductor industry, banning any companies that use American tech from selling advanced chips to China.

    Biren Technology is the latest casualty, with TSMC saying it has stopped production for the Chinese startup, according to Bloomberg. Biren makes advanced AI chips that compete with Nvidia’s offerings, which are now banned from being sold in China.

    Interestingly, Biren’s internal investigation concluded its chip designs were not covered by US export regulations, and TSMC has yet to conclude its own investigation. Nonetheless, the Taiwanese manufacturer appears to be taking the drastic step of stopping production in an effort to ensure it remains compliant and doesn’t risk running afoul of US law.

    Biren’s misfortune is only going to add to China’s semiconductor woes, with reports already claiming the country’s semiconductor industry is in the midst of collapse.

  • Nvidia, Arm, and Intel Collaborate on AI Standard

    Nvidia, Arm, and Intel Collaborate on AI Standard

    Three of the biggest names in the semiconductor industry are collaborating on a new standard for AI interchange format.

    AI is considered one of the biggest technological advancements of the modern era. In order to reach its potential, however, companies and researchers need to have common standards for hardware and software interoperability.

    Nvidia, Arm, and Intel have authored the FP8 Formats for Deep Learning white paper, proposing an “8-bit floating point (FP8) specification.” The specification will help optimize memory usage, thereby accelerating AI development. The specification works with AI training, as well as inference, and is natively supported in Nvidia’s Hopper architecture.

    “NVIDIA, Arm, and Intel have published this specification in an open, license-free format to encourage broad industry adoption,” writes Shar Narasimhan, a director of product marketing. “They will also submit this proposal to IEEE.

    “By adopting an interchangeable format that maintains accuracy, AI models will operate consistently and performantly across all hardware platforms, and help advance the state of the art of AI. “

  • More Than Three Dozen Companies Form the Metaverse Standards Forum

    More Than Three Dozen Companies Form the Metaverse Standards Forum

    Microsoft, Meta, Nvidia, Qualcomm, Kronos, and 33 other companies have formed the Metaverse Standards Forum to help build an open metaverse.

    Companies are racing to develop the metaverse, the next generation of virtual and augmented worlds. With so many companies working to develop the metaverse, however, some were concerned about the shape it would take, whether it would be a unified space or whether different companies would develop their own version.

    The group makes clear its members believe the metaverse should be built on open standards:

    Multiple industry leaders have stated that the potential of the metaverse will be best realized if it is built on a foundation of open standards.

    “The metaverse will bring together diverse technologies, requiring a constellation of interoperability standards, created and maintained by many standards organizations,” said Neil Trevett, Khronos president. “The Metaverse Standards Forum is a unique venue for coordination between standards organizations and industry, with a mission to foster the pragmatic and timely standardization that will be essential to an open and inclusive metaverse.”

    The Forum is open to any company, university, or standards organization, free of charge. Interestingly, neither Apple nor Google are founding members of the Forum.

    Founding members include 0xSenses, Academy Software Foundation, Adobe, Alibaba, Autodesk, Avataar, Blackshark.ai, CalConnect, Cesium, Daly Realism, Disguise, the Enosema Foundation, Epic Games, the Express Language Foundation, Huawei, IKEA, John Peddie Research, Khronos, Lamina1, Maxon, Meta, Microsoft, NVIDIA, OpenAR Cloud, the Open Geospatial Consortium, Otoy, Perey Research and Consulting, Qualcomm Technologies, Ribose, Sony Interactive Entertainment, Spatial Web Foundation, Unity, VerseMaker, Wayfair, the Web3D Consortium, the World Wide Web Consortium, and the XR Association.

  • Qualcomm Wants Consortium of Rivals to Ensure Arm Remains Independent

    Qualcomm Wants Consortium of Rivals to Ensure Arm Remains Independent

    Qualcomm CEO Cristiano Amon wants his company to be part of a consortium of rivals that would invest in Arm and ensure its independence.

    Arm Holdings is one of the leading semiconductor design firms, with companies around the globe licensing its designs to serve as the basis for their chips. Apple’s A-series and M1 line of chips are prime examples. The company was recently in talks to be acquired by Nvidia, but that deal fell through over concerns that owning Arm would give Nvidia an unfair advantage. Amon wants to make sure that scenario is never again a possibility.

    SoftBank, Arm’s current owner, is now looking to spin-off Arm as an independent company following the failure of the Nvidia deal. Amon told Financial Times, via Ars Technica, he wants many companies to invest in Arm to ensure no one company could gain an unfair advantage.

    “We’re an interested party in investing,” Amon said in an interview. “It’s a very important asset and it’s an asset which is going to be essential to the development of our industry.”

    “You’d need to have many companies participating so they have a net effect that Arm is independent,” he added.

    Amon sees this strategy as a way for Arm to return to its roots and do business the way it did before SoftBank acquired it.

    “Arm has won everywhere because of the collective investment of the entire ecosystem, from companies like Apple and Qualcomm and many others, and that’s because it was an independent, open architecture that everybody could invest in,” said Amon, referring to the pre-SoftBank period.

    Given Arm’s importance to the industry, it’s a safe bet his sentiments will be echoed by many of Arm’s customers. In fact, Intel has expressed similar interest in a consortium to purchase Arm.

  • Nvidia Is Finally Open-Sourcing Its Linux GPU Kernel Drivers

    Nvidia Is Finally Open-Sourcing Its Linux GPU Kernel Drivers

    Nvidia is — at long last — open-sourcing its GPU kernel drivers for Linux, potentially ending a major pain point for users.

    Hardware support for Linux has come miles in recent years, but Nvidia drivers have continued to be a sore point for many users. Unlike AMD, Nvidia steadfastly refused to open-source its drivers. Users with Nvidia cards have had to use Nvidia’s proprietary drivers. Depending on the specific Linux distribution (distro), accessing Nvidia’s drivers could range from easy to painfully difficult.

    According to Phoronix, Nvidia has finally agreed to open-source its drivers. This means that even the most free and open source (FOSS) focused distro will now be able to include the drivers in their standard repositories (repos). Canonical / Ubuntu, Red Hat, and SUSE are already preparing to include the drivers. While Ubuntu already made it easy to install non-FOSS drivers and software, Red Hat and SUSE required users to enable specific, non-official repos to access the drivers.

    Nvidia’s previous stance not only drew constant criticism from the open source community, but it also drew the wrath of hackers. The Lapsus$ ransomware group stole Nvidia code, demanding the company open-source its drivers if it wanted to avoid having its source code leaked to the world. While company CEO Jensen Huang called the breach a “wake-up call,” few suspected the company would go this far.

    Either way, Nvidia’s decision is a major win for Linux users and FOSS advocates alike.

  • Globant Is the Latest Lapsus$ Hacking Victim

    Globant Is the Latest Lapsus$ Hacking Victim

    Globant, a company that helps others prepare “for digital and cognitive future,” is the latest victim of the Lapsus$ ransomware group.

    Lapsus$ has been racking up a significant list of victim companies, including Nvidia, Microsoft, Okta, and Samsung. The group recently claimed it hacked Globant as well, posting some of the company’s source code as proof.

    The company has acknowledged the breach, but said the scope of access was limited.

    “We have recently detected that a limited section of our company’s code repository has been subject to unauthorized access,” the company wrote on their site. “We have activated our security protocols and are conducting an exhaustive investigation.

    “According to our current analysis, the information that was accessed was limited to certain source code and project-related documentation for a very limited number of clients. To date, we have not found any evidence that other areas of our infrastructure systems or those of our clients were affected.

    “We are taking strict measures to prevent further incidents.”

  • Nvidia CEO Calls Lapsus$ Hack a ‘Wake-Up Call’

    Nvidia CEO Calls Lapsus$ Hack a ‘Wake-Up Call’

    Nvidia suffered a major attack at the hands of ransomware group Lapsus$, an attack CEO Jensen Huang is calling a “wake-up call.”

    Lapsus$ is a somewhat different type of ransomware gang. Rather than gaining access and delivering a ransomware payload that encrypts a target’s systems, Lapsus$ tries to gain access to source code repositories, stealing code and demanding a ransom to not release it to the public.

    Lapsus$ has been on a string of attacks, compromising Microsoft, Samsung, and Nvidia. In the case of the latter, the group made off with GPU source code, demanding the company open source its drivers or see the code released publicly.

    According to Yahoo Finance, the hack got Huang’s attention, who was happy it wasn’t worse.

    “It was a wake-up call for us,” Huang told Yahoo Finance. “Fortunately, we didn’t lose any customer information and any sensitive information. They got access to source code, which of course we don’t like, but nothing that is harmful to us.”

    Ransomware has been on the rise, becoming one of the most popular, and profitable, forms of cybercrime. The CEO of Nvidia calling the Lapsus$ attack a “wake-up call” should serve as a cautionary tale to companies large and small.

  • Nvidia May Use Intel’s Foundry Services

    Nvidia May Use Intel’s Foundry Services

    Intel may score a major foundry customer in the form of Nvidia, one of the biggest semiconductor purchasers in the industry.

    Intel has been working overtime to reinvent itself under CEO Pat Gelsinger. Gelsinger is intent on bringing the company back to its roots as a chipmaker, first and foremost. In addition to its own chips, Intel is investing heavily in foundries aimed at manufacturing chips for other companies. Many of the biggest names in tech, including Apple, Qualcomm, Nvidia, and AMD, rely on outside companies to manufacture their semiconductors, making Intel one of the only companies that provides the entire range of services, from design to production.

    Nvidia may be interested in diversifying its manufacturing, instead of relying solely on TSMC and Samsung, according to Bloomberg.

    “We’re very open-minded to considering Intel,” Nvidia CEO Jensen Huang said. “Foundry discussions take a long time. It’s not just about desire. We’re not buying milk here.”

    At the same time, Huang cautioned that Intel had a challenging road ahead of it if it wants to successfully compete with the two Asian firms.

    “Being a foundry at the caliber of TSMC is not for the faint-hearted,” he added. “TSMC dances with the operations of 300 companies worldwide.”

    Gelsinger has made no secret of his desire to compete at that level, and all indications are that Intel is certainly headed in that direction. Nonetheless, given the company’s recent quality and supply chain issues in recent years, Intel will have to deliver on its promises if it wants to gain serious traction in the market.

  • Microsoft Confirms Lapsus$ Hack, Interrupted It In Progress

    Microsoft Confirms Lapsus$ Hack, Interrupted It In Progress

    Microsoft has confirmed it was at least partially compromised by hacking group Lapsus$, saying it interrupted the attack in progress.

    Lapsus$ is a ransomware group that operates somewhat differently than most. Rather than compromising a system and installing a ransomware payload, the group tries to steal source code and intellectual property, and then threatens to release it if a ransom is not paid. The group claimed to have compromised Microsoft, saying it made off with source code for Bing, Bing Maps, and Cortana.

    In a blog post, Microsoft says it interrupted DEV-0537 (Microsoft’s codename for Lapsus$) mid-operation.

    This week, the actor made public claims that they had gained access to Microsoft and exfiltrated portions of source code. No customer code or data was involved in the observed activities. Our investigation has found a single account had been compromised, granting limited access. Our cybersecurity response teams quickly engaged to remediate the compromised account and prevent further activity. Microsoft does not rely on the secrecy of code as a security measure and viewing source code does not lead to elevation of risk. The tactics DEV-0537 used in this intrusion reflect the tactics and techniques discussed in this blog. Our team was already investigating the compromised account based on threat intelligence when the actor publicly disclosed their intrusion. This public disclosure escalated our action allowing our team to intervene and interrupt the actor mid-operation, limiting broader impact.

    Microsoft has been monitoring Lapsus$ for some time, and have noted the group’s ability to prey on the interconnected nature of modern systems.

    Early observed attacks by DEV-0537 targeted cryptocurrency accounts resulting in compromise and theft of wallets and funds. As they expanded their attacks, the actors began targeting telecommunication, higher education, and government organizations in South America. More recent campaigns have expanded to include organizations globally spanning a variety of sectors. Based on observed activity, this group understands the interconnected nature of identities and trust relationships in modern technology ecosystems and targets telecommunications, technology, IT services and support companies–to leverage their access from one organization to access the partner or supplier organizations. They have also been observed targeting government entities, manufacturing, higher education, energy, retailers, and healthcare.

    Microsoft’s revelations come on the heels of several high-profile attacks by the group, including a major successful attack against Nvidia, and an attempted hack of Okta.

  • LAPSUS$ May Have Hacked Okta

    LAPSUS$ May Have Hacked Okta

    Identification and authentication services firm Okta is investigating the possibility it may have been hacked by LAPSUS$.

    LAPSUS$ has accomplished a number of high-profile hacks in recent weeks, including stealing the Samsung Galaxy code and the Nvidia GPU code. According to Reuters, the group is now claiming to have hacked Okta, one of the leading providers of identity and authentication services.

    Okta says it is investigating whether the claims are true. If they are, however, the repercussions could be nothing short of disastrous, depending on how badly the company has been compromised. Companies around the world, large and small, rely on Okta to authenticate their users and services.

    We will continue to monitor this story and report updates as details become available.

  • Arm Cutting Up to 15% of Its Workforce

    Arm Cutting Up to 15% of Its Workforce

    In the wake of its failed Nvidia deal, Arm is cutting up to 15% of its workforce, or roughly 1,000 jobs.

    Nvidia made a high-profile attempt to purchase Britain’s leading tech company for some $40 billion. Arm’s current owner, SoftBank, has been eager to sell the chip designer in an effort to recoup losses it has incurred from some of its other investments. Regulators on both sides of the Atlantic, however, objected to the merger over anti-competitive concerns, ultimately scuttling the deal.

    In the wake of the failed deal, Arm’s CEO resigned and was succeeded by Rene Haas. Haas has now informed employees of a significant cut in the company’s workforce, some 15%, or roughly 1,000 employees. The new CEO sent an email to employees that was seen by The Telegraph, according to The Register.

    “To stay competitive, we need to remove duplication of work now that we are one Arm; stop work that is no longer critical to our future success; and think about how we get work done.”

    Haas added that Arm needs “to be more disciplined about our costs and where we’re investing.”

    SoftBank has already made it clear it intends to take Arm public. The workforce cuts are likely an effort to trim the fat from Arm and put it in the best position to compete as an independent company.

  • Lapsus$ Strikes Again: Hackers Steal Samsung Galaxy Code

    Lapsus$ Strikes Again: Hackers Steal Samsung Galaxy Code

    Hacker group Lapsus$ is in the news again, this time for stealing 190GB of Samsung data and Galaxy code.

    BleepingComputer reported last week that Lapsus$, the same group that stole Nvidia GPU source code, had stolen a treasure trove of Samsung data. The data included “source code for every Trusted Applet (TA) installed in Samsung’s TrustZone environment used for sensitive operations (e.g. hardware cryptography, binary encryption, access control).” The code also included biometric unlock algorithms, bootloader source code, Samsung activation server code, confidential Qualcomm source code, as well as code for authenticating Samsung accounts.

    Samsung has now confirmed the breach, and the theft of the Galaxy source code, in a statement to *Bloomberg.*

    “There was a security breach relating to certain internal company data,” Samsung said. “According to our initial analysis, the breach involves some source code relating to the operation of Galaxy devices, but does not include the personal information of our consumers or employees. Currently, we do not anticipate any impact to our business or customers. We have implemented measures to prevent further such incidents and will continue to serve our customers without disruption.”

    It has not been a good few days for Samsung, with the company accused of throttling games and other apps on a wide array of its devices, including its most recent flagship S22. The company has promised to release a fix, but it’s not clear what long-term repercussions there may be.

    One thing is certain: A breach of this magnitude is only going to add to Samsung’s woes.

  • Open Source Drivers or Else: Nvidia Hackers Make Demands

    Open Source Drivers or Else: Nvidia Hackers Make Demands

    The hackers responsible for an Nvidia data breach have finally made their demands, wanting the company to release open source GPU drivers.

    Nvidia is notoriously opposed to open source drivers for its products. The issue is so well-known that it continues to be a problem in the Linux community, with some Linux distros specifically advertising themselves as being Nvidia-friendly by including the company’s official drivers, rather than the normal open source alternatives. The company has also angered some users by including measures to throttle its GPU performance when used for crypto mining.

    On March 1, it was reported that Nvidia had launched a counter-hacking operation against the LAPSU$ group in an effort to encrypt roughly 1TB of stolen data, so it could not be used in a ransomware demand. It’s unclear how successful that operation was, since the group is now making its demands, according to Ars Technica, targeting both complaints against the company.

    So, NVIDIA, the choice is yours! Either:

    –Officially make current and all future drivers for all cards open source, while keeping the Verilog and chipset trade secrets… well, secret

    OR

    –Not make the drivers open source, making us release the entire silicon chip files so that everyone not only knows your driver’s secrets, but also your most closely-guarded trade secrets for graphics and computer chipsets too!

    YOU HAVE UNTIL FRIDAY, YOU DECIDE!

    Given that today is Friday, we won’t have long to wait to see how this demand plays out, but our money is on Nvidia refusing.

  • Who Hacks the Hackers? Nvidia Does

    Who Hacks the Hackers? Nvidia Does

    Nvidia has taken a novel approach to hackers that stole its data, hacking them back and encrypting the data so it can’t be accessed.

    According to Tom’s Hardware, hackers from the LAPSU$ group stole some 1TB of data from Nvidia. Rather than pay a ransom or deal with the hackers, Nvidia opted to hack the group instead. Once it gained access to the hackers’ servers, the company encrypted its stolen data, ensuring it can’t be access.

    Hacker group Vx-underground reported on Twitter that Nvidia had pulled off the operation.

    LAPSU$ extortion group, a group operating out of South America, claim to have breached NVIDIA and exfiltrated over 1TB of proprietary data. LAPSU$ claims NVIDIA performed a hack back and states NVIDIA has successful ransomed their machines

    Nvidia has sent a clear signal: Mess with it at your own peril.

  • Intel Interested in Consortium to Purchase Arm

    Intel Interested in Consortium to Purchase Arm

    Intel CEO Pat Gelsinger has expressed his interest in joining a consortium aimed at purchasing Arm Holdings.

    Nvidia called off its attempt to purchase Arm in early February. The deal had met with backlash in both the US and the EU, with many concerned about a potential conflict of interest. Arm doesn’t manufacture any of its semiconductor designs, but does license them to whatever company is willing to pay. Many industry experts were concerned Nvidia may keeps Arm’s best designs for its own use, breaking with the company’s long-standing practice.

    Now that the Nvidia/Arm deal has fallen though, many are wondering what will become of Arm. While it has owned Arm since 2016, SoftBank had made it clear that it wanted to sell or spin off the semiconductor firm, likely to help offset the losses it has suffered with other investments.

    One possibility that was raised even before Nvidia’s ill-fated attempt to purchase Arm, was a consortium of companies purchasing the firm. According to Reuters, Gelsinger has left the door open to that possibility.

    “We’re not big users of Arm, but we do use Arm. We’re going to get to be bigger users of Arm as we make it part of our IFS (foundry business) agenda as well,” he told Reuters. “So if a consortium would emerge, we would probably be very favorable to participate in it in some manner.”

    Meanwhile, following the failed Nvidia deal, SoftBank has indicated it will take the semiconductor firm public, an outcome Gelsinger would also support.

  • It’s Official: The Nvidia and Arm Deal Is Off, Arm Appoints New CEO

    It’s Official: The Nvidia and Arm Deal Is Off, Arm Appoints New CEO

    Nvidia and Arm have officially abandoned a deal that would have seen Nvidia purchase the semiconductor firm for $40 billion.

    Nvidia announced in September 2020 that it would purchase Arm Holdings for $40 billion. Almost immediately, critics jumped on the announcement, citing a number of concerns. UK lawmakers were concerned about the country’s preeminent semiconductor firm being sold to an American company, especially at a time when the semiconductor industry is increasingly becoming an area of national security focus. Competitors were concerned Nvidia would hoard Arm’s greatest breakthroughs for itself, in contrast to Arm’s long-standing pattern of selling its semiconductor designs to any company willing to pay.

    After intense opposition from the UK, the EU, and even a lawsuit filed by the FCC to block the acquisition, the two companies have officially called it off.

    “Arm has a bright future, and we’ll continue to support them as a proud licensee for decades to come,” said Jensen Huang, founder and chief executive officer of NVIDIA. “Arm is at the center of the important dynamics in computing. Though we won’t be one company, we will partner closely with Arm. The significant investments that Masa has made have positioned Arm to expand the reach of the Arm CPU beyond client computing to supercomputing, cloud, AI and robotics. I expect Arm to be the most important CPU architecture of the next decade.”

    Meanwhile, Arm’s CEO, Simon Segars, has stepped down and been replaced by Rene Haas, a 35-year veteran of the semiconductor industry.

    “Rene is the right leader to accelerate Arm’s growth as the company starts making preparations to re-enter the public markets,” said Masayoshi Son, Representative Director, Corporate Officer, Chairman & CEO of SoftBank Group Corp. “I would like to thank Simon for his leadership, contributions and dedication to Arm over the past 30 years.”

    “It is an honor to lead the world’s most influential technology company at a time when Arm’s market opportunity has never been greater,” said Mr. Haas. “As the innovators of the industry’s most pervasive compute architecture, Arm changed lives around the globe by delivering the technology at the heart of the smartphone revolution. We are now uniquely positioned to address the diverse demands of AI, cloud, IoT, automotive and the Metaverse. And with the uncertainty of the past several months behind us, we are emboldened by a renewed energy to move into a growth strategy and change lives around the world―again.”