Apple, Samsung, and Nvidia join forces as investors in Arm's monumental $50-$55 billion IPO
In a historic move, tech titans Apple, Samsung, and Nvidia have united as investors in ARM's monumental IPO, which is poised to value the chip designer between an impressive $50 billion and $55 billion. This collaborative investment marks a significant moment in the tech industry's evolution.
As British chipmaker ARM gears up for its eagerly anticipated initial public offering (IPO), following the thwarted acquisition attempt by Nvidia, a new development emerges. Recent reports had hinted at Apple and Samsung's intentions to purchase shares of ARM when the IPO opens. Now, according to Reuters, it appears that not only Apple and Samsung but also ARM's own customers are set to become investors in this significant event in the chip designer's history.
Apple, Samsung, and Nvidia join forces as investors in Arm's monumental $50-$55 billion IPO
Beyond the tech giants of Apple and Samsung, ARM's IPO has garnered substantial attention from prominent figures in the technology and chip industry, with heavyweights like AMD, NVIDIA, Intel, Cadence Design Systems, Synopsys, and Alphabet all joining the ranks. These investors have collectively committed to participating in the IPO, which is poised to value ARM between $50 billion and $55 billion, as reported earlier by Reuters. SoftBank, the parent company of ARM, has its sights set on achieving this ambitious valuation target.
While the exact investment amounts from individual companies have yet to be disclosed, notable players like NVIDIA, Apple, and others have already committed to participating in ARM's IPO, with investment figures speculated to range from $25 million to $100 million. Amazon, while initially in talks to invest, has subsequently withdrawn from the opportunity for undisclosed reasons.
The involvement of Samsung and Apple in ARM's IPO comes as no surprise, given their significant reliance on ARM chips. Although this investment won't grant them special privileges like seats on the board of directors or the ability to dictate the company's strategy, it does solidify their stake in ARM's future. Importantly, their participation also presents a formidable obstacle for potential competitors eyeing ARM for acquisition in the future.