Arm may form a strategic alliance with Samsung

It was previously reported that Samsung intends to acquire Arm, and its vice chairman Lee Jae-yong will take this opportunity to explore the possibility during his trip to the United Kingdom

Things seem to have developed further recently. According to Bloomberg, Masayoshi Son, founder, and CEO of SoftBank said through his spokesman that he intends to discuss with Samsung about the strategic alliance of Arm and is looking forward to this trip to South Korea. SoftBank did not disclose more details, but the content of the meeting was of a strategic nature, and the actual person in charge of the controlling party was involved. Many people speculated whether Masayoshi Son had plans to sell Arm to Samsung.

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According to Korea Economic Daily, Lee Jae-yong told reporters at the airport in mid-week that Chairman Son will visit Seoul next month and may make some suggestions about Arm. The statement also confirmed the meeting between the two parties and confirmed Samsung’s interest in Arm.

For Samsung, the Arm is of strategic importance. Its SoCs for smartphones, advanced consumer electronics, personal computers, and many other products use the core of the Arm architecture. Even Samsung’s SSD controller chip uses Arm Cortex-R series cores. As memory chips gain computing power and become more widely used in the coming years, these core architectures will be important to Samsung’s memory market, one of Samsung’s key businesses.

Samsung’s acquisition or closer cooperation with Arm could rapidly increase its chip development capabilities. This is what Samsung wants to see, after all, for many years, Samsung, which has invested a lot of resources, has not been able to build a CPU core that is sufficiently competitive. However, Samsung is not the only company with the same idea. A few months ago, SK Hynix said at its annual shareholder meeting that it was reviewing whether it should form a consortium with strategic partners to acquire Arm. Regardless of the form of acquisition, it needs to be approved by the regulatory authorities, which is also the most difficult problem to solve at present.