International e-commerce was informed that on Sunday, local time, Avda announced on its official website that it would buy SoftBank's Arm For $40 billion.
The merger combines IND's leading AI computing platform with ARM's vast ecosystem to become the premier computing company in the AI era and expand into large, high-growth markets while accelerating innovation.
Under the deal, Aveda will pay $21.5bn worth of Aveda shares and $12bn in cash, including $2bn immediately at the time of signing. It is important to note that this transaction does not include Arm's IoT service.
SoftBank could also receive an additional $5 billion in cash or stock if Arm's future performance meets certain targets, the companies said in a joint statement. A further $1.5 billion worth of Avda shares will be paid to Arm employees.
The UK company said it would "continue to operate its open licensing model while remaining globally neutral, which is the basis for its success." InVda said it would add its technology to Arm's licensed products.
Invida CEO Huang Renxun says he likes Arm's business model and wants to expand its broad customer base. As for concerns that the deal could damage Arm's relationship with big customers such as Apple, Mr Huang said Avda had spent a lot of money on the acquisition and had no incentive to do anything that would cause customers to deviate.
"ARM will continue to have its headquarters in Cambridge, UK. We will expand on this land and build a world-class AI research institute to support developments in healthcare, life sciences, robotics, self-driving cars and more. And to attract breakthrough work from researchers and scientists in the UK and around the world, AfD will build a state-of-the-art AI supercomputer powered by ARM CPUs. ARM Cambridge will become a world-class technology centre. "
The company stressed that it would retain Arm's UK headquarters and create new facilities to promote AI research, educate customers, and research related to robotics and automation. "This commitment suggests that the acquisition will strengthen, not weaken, the UK's technological capabilities. He said.
The deal still needs to be approved by China, the US, the EU and the UK, and Aveda expects it could take about 18 months to complete.
In addition, SoftBank is expected to retain less than 10 per cent of Arm after the deal is completed.
