"ARM went public in September 2023 in one of the most anticipated chip IPOs. Nvidia's retained minority stake was always more about goodwill than returns. The Grace CPU and Grace Hopper Superchip both rely on ARM architecture, making the relationship technically symbiotic even without equity ownership. The 1.1 million shares Nvidia sold were valued at roughly $140 million, a rounding error for a company with a $4.58 trillion market cap."
"NVIDIA's stake in Synopsys was for $2 billion, its stake in Intel was worth $5 billion, and it invested $2 billion in CoreWeave in late January. Its investment in ARM was minor relative to these recent investments. NVIDIA sold $140 million worth of ARM stock, and it had originally invested alongside Apple, Google, Samsung, and TSMC. The combined investment was worth about $735 million."
Nvidia has exited its minority stake in ARM by selling 1.1 million shares worth roughly $140 million. Nvidia attempted to acquire ARM for $40 billion in 2020, but the deal collapsed in 2022 under regulatory pressure from the U.S., U.K., and EU. ARM completed an IPO in September 2023. Nvidia's Grace CPU and Grace Hopper Superchip both rely on ARM architecture, creating a technical symbiosis despite the lack of equity. Nvidia is reallocating capital into larger investments such as CoreWeave, Intel, Nebius, and Synopsys, with those stakes ranging from $2 billion to $5 billion.
Read at 24/7 Wall St.
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