PC: Asia Financial
Masayoshi Son, the CEO of SoftBank, stated that he is looking to form a “strategic relationship” between Samsung and the South Korean tech behemoth, Arm, which is controlled by the Japanese powerhouse.
“I want to go to Korea. For the first time in three years, I’m excited to go to Korea. In a statement, Son stated, “I’d want to speak with Samsung about forming a strategic partnership with Arm.
A strategic agreement might represent a significant shift in strategy for Son and his plans for Arm, albeit SoftBank did not disclose any other information on what it would entail.
When CNBC contacted Samsung, they chose not to comment.
Son has since stated that SoftBank’s 2016 acquisition of Arm, one of the most significant chipmakers in the world with headquarters in the United Kingdom, is essential for the company’s long-term ambition as more and more products become internet-connected.
After that, SoftBank attempted to sell an arm to the semiconductor manufacturer Nvidia, but the transaction collapsed in February.
Son is currently working for Arm to be listed publicly, ideally in New York. However, the British government favours Arm’s IPO in London. Following an IPO, SoftBank wants to retain a controlling interest in Arm.
According to a report by The Korea Herald, Samsung Vice Chairman Lee Jae-yong stated on Wednesday that he intended to meet Son during his visit to South Korea.
According to remarks quoted by The Korea Herald, Lee acknowledged that he has “no concept what it is” but said that Son “could come up with such a plan” regarding Arm.
Many of the world’s smartphone CPUs, including those from Apple and Samsung, are powered by Arm’s chip design.
It has also been reported that other businesses are interested in investing in Arm. Earlier this year, Qualcomm CEO Cristiano Amon declared that his company is “an interested party in investing” in Arm.
There have also been rumours of a consortium arrangement, in which Arm is purchased by a group of corporations.
After its main tech investment company, the Vision Fund, experienced historic losses in its most recent fiscal year, SoftBank has been under pressure to monetize Arm. In order to raise money, SoftBank reduced its investment in Chinese e-commerce giant Alibaba and sold the remaining portion of its full stake in American ride-hailing startup Uber in the second quarter.