Re: Flim Flammery
The thing is, it's not "too rich for the UK", it's just too rich. The US went through a similar experience in the 1980s when Japan, flush with paper money thanks to a real estate bubble and lax lending rules, started buying up American corporations, land, and pretty much anything else for insane prices. At the time, the Americans worried that the Japanese were "taking over", but the reality was quite different: the sellers were winning every deal, and Japan's economy has been circling an overcomplicated electronic toilet for 30 years.
If someone is willing to pay far too much for an asset, it behooves you to take the money and look for other things in which to invest it. It's easy to look at Arm as an opportunity lost, but the real question is what did the former owners do with the 40 billion? Business is no place for sentiment; if I can sell an exciting but mature business with the lion's share of its markets for 60 times earnings and turn it into a dull as dishwater supermarket chain at 10 times earnings, I can replace my entire income -- not just today but for a long time -- and still have 5/6 of the cash left over to invest in more forward-looking growth opportunities like, say, SiFive. Or I can blow it on another speculative bubble like cryptocurrency, whatever floats my boat.
nvidia are going to find that the market for processor cores is not quite like the market for GPUs. Ford, Qualcomm, and Google are not ignorant gamers; they have market power and the ability to make and execute reasoned technology choices. nvidia's reputation precedes them. This move is being made in anticipation of the enormous loss of market share Arm will suffer as a result of nvidia's inevitable rapacious pricing and cost cutting. Those with limited technical teams will be stuck paying much higher prices for their processors or cores; the rest will migrate, and the end result will be far less business at much higher prices. No reason to stick around; when your employer or supplier gets acquired by a bunch of rapacious assholes, you make tracks the day they take away the donuts. If you need a roadmap, ask anyone who was at Sun in 2010. Arm are reading from the same playbook. But economically, this is great for Softbank just as it was great for the former owners. As always, it's all about what you do next. If you're feeling bitter, take the money and found a competitor.