The proposed $40 billion acquisition of Arm Holdings Plc from SoftBank by NVIDIA raises "significant competition concerns," says the Competition and Markets Authority (CMA). The scathing report by the UK's competition regulator goes on to say that the merger will stifle innovation. We're concerned that NVIDIA controlling Arm could create real problems for NVIDIA's rivals by limiting their access to key technologies, and ultimately stifling innovation across a number of important and growing markets. This could end up with consumers missing out on new products, or prices going up," it reads.

In its first reaction, NVIDIA sought time to address CMA's concerns. "We look forward to the opportunity to address the CMA's initial views and resolve any concerns the Government may have. We remain confident that this transaction will be beneficial to Arm, its licensees, competition, and the UK," the company said. Although a subsidiary of Japan's Softbank, the report by UK's competition regulator does have some bearing on the fate of Arm, which remains headquartered in the UK.