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SoftBank's $6.5 Billion Acquisition of Ampere Computing Faces Long FTC Review

SoftBank's $6.5 Billion Acquisition of Ampere Computing Faces Long FTC Review

According to Bloomberg, SoftBank announced its $6.5 billion acquisition of Ampere Computing, which is now subject to a "Second Request" investigation by the Federal Trade Commission (FTC). This indicates that the acquisition may face a prolonged review process and risks being denied approval.

The ongoing investigation is viewed as an in-depth process focusing on potential monopoly risks, which is relatively rare at the federal level in the U.S. Entering this stage could take several months, or even more than a year, and may eventually lead to legal proceedings to block the transaction.

Neither SoftBank nor Ampere Computing has made comments regarding the investigation rumors. This acquisition is also seen as a strategic move for SoftBank to strengthen its position in artificial intelligence chip development. If the deal goes through, SoftBank would control three influential companies in the AI chip space: Arm, Graphcore, and Ampere Computing, which could raise concerns about market competition.

In addition to the acquisition challenges posed by Ampere Computing, SoftBank has faced hurdles in multiple areas, such as the large AI supercomputer project "Stargate," which has been impacted by U.S. tariff policies, slowing progress. Additionally, Arm is currently embroiled in licensing and antitrust disputes with Qualcomm across various regions including Europe, the U.S., and South Korea. While it remains unclear whether the FTC will block SoftBank's acquisition of Ampere Computing, the success or failure of this deal will undoubtedly influence SoftBank's future global strategy in the field of artificial intelligence.