Due to potential national security risks, the U.K. government is considering blocking Nvidia’s $40 billion contract for the British peer Arm.
Chip designing company Nvidia said, “We look forward to their questions and expect to resolve any issues they may have,” The Nvidia spokesperson also told that it is working through the regulatory process with the UK government.
The Arm is currently owned by Japan’s SoftBank Group Corp. It is playing a significant role in fundamental technologies like artificial intelligence and quantum computing. It is also a major player in global semiconductors and 5G telecoms networks. Nearly every smartphone and millions of other devices are using their designs.
Recently UK’s Competition and Markets Authority (CMA) had completed the investigation report and has already submitted it to the UK government. The assessment expressed its concern about UK’s national security. For this reason, the UK government is going to conduct a deeper review to ensure national security.