News
 

Bookmark and Share

(3) 

ARM, the developer of microprocessing technologies for ultra low power devices, believes that it will remain independent despite of the interest towards the company by large customers, such as Apple.

"If you get a buyer who is a significant part of the ecosystem, in which they already play a part, it is likely that they would be excluding part of the market and therefore diminishing part of the value of ARM. ARM has been built around the principle of being agnostic at every point in the value chain. Because of that approach, it means that acquisitions are very difficult. It's not impossible, but ARM is a very valuable business as it is and a significant part of that value lies in its agnostic approach," said Warren East, chief executive officer of ARM, in an interview with The Telegraph.

 

According to Mr. East, customers of ARM simply do not need to buy the company as they have access to the technology without owning ARM. Moreover, ARM hardly needs to be bought as the amount of its customers allows to continue development of technologies for central processing units (CPUs).

"If you look at the end customer, like an Apple, or any company within the ecosystem at any particular point in the value chain, if one of those companies were to acquire ARM – well, why? They either want access to the technology, which they have already, or they want to prevent competitors from gaining access to it. In reality it doesn't work very well... If you want to prevent your competitors getting the technology, it's not a very good way of doing it. There are 800 licensees out there. Most are perpetual licenses. They last forever. The worst that company could do is seriously inconvenience their competitors,” said Mr. East.

The head of ARM also does not believe that the company may be bought by other chip designers, in particular Intel Corp., due to potential issues with anti-trust organizations.

Tags: ARM, Cortex, Business

Discussion

Comments currently: 3
Discussion started: 08/24/11 01:47:45 AM
Latest comment: 08/24/11 04:13:36 PM

[1-3]

1. 
Smart talk.
0 0 [Posted by: zaratustra06  | Date: 08/24/11 01:47:45 AM]
Reply

2. 
An acquisition would obviously be intended to restrict access to ARM technology, but that would probably only make other low powered designs look more appealing, and there are a lot of other low power chip designs, both RISC and x86.

The scenario I`d like to see would be AMD and ARM merging. These two companies would have a lot of synergies to build upon. AMD could learn how to further improve on their power conseravation, and ARM could gain access to the APU architecture and integrate GPU circuitry into their designs to give certain versions of their chips dramatically more FPU performance, in, say blade servers with low power requirements.

Just a thought.
0 0 [Posted by: anubis44  | Date: 08/24/11 01:02:36 PM]
Reply

3. 
@anubis44

Ya, I too think it would be the perfect marriage; they would mutually perfectly benefit each other. AMD and ARM would get more market and better products. The synergies are at least quadruple. It in fact, it's the only suitable merger for AMD or ARM. ARM says its comfortable, but there is no denying that access to AMD technology would elevate their business - profit - and vice versa.

That being said, both companies are very well organized and a physical merge would not be necessary. A deal similar to Nvidia and Intel should be made, but between AMD and ARM to have access to each others technology. CEO approved, lol!
0 0 [Posted by: ericore  | Date: 08/24/11 04:13:36 PM]
Reply

[1-3]

Add your Comment




Related news

Latest News

Monday, April 14, 2014

8:23 am | Microsoft Vows to Release Xbox 360 Emulator for Xbox One. Microsoft Xbox One May Gain Compatibility with Xbox 360 Games

Tuesday, April 1, 2014

10:39 am | Microsoft Reveals Kinect for Windows v2 Hardware. Launch of New Kinect for Windows Approaches

Tuesday, March 25, 2014

1:57 pm | Facebook to Acquire Virtual Reality Pioneer, Oculus VR. Facebook Considers Virtual Reality as Next-Gen Social Platform

1:35 pm | Intel Acquires Maker of Wearable Computing Devices. Basis Science Becomes Fully-Owned Subsidiary of Intel

Monday, March 24, 2014

10:53 pm | Global UHD TV Shipments Total 1.6 Million Units in 2013 – Analysts. China Ahead of the Whole World with 4K TV Adoption

10:40 pm | Crytek to Adopt AMD Mantle Mantle API for CryEngine. Leading Game Developer Adopts AMD Mantle

9:08 pm | Microsoft Unleashes DirectX 12: One API for PCs, Mobile Gadgets and Xbox One. Microsoft Promises Increased Performance, New Features with DirectX 12

3:33 pm | PowerVR Wizard: Imagination Reveals World’s First Ray-Tracing GPU IP for Mobile Devices. Imagination Technologies Brings Ray-Tracing, Hybrid Rendering Modes to Smartphones and Tablets

2:00 pm | Nokia Now Expects to Close Deal with Microsoft in Q2. Sale of Nokia’s Division to Close Next Month