Nvidia Quietly Looks To Dump Its Arm Ambitions

• NVIDIA Corp (NASDAQ:NVDA) is quietly preparing to abandon its purchase of Arm Ltd from SoftBank Group (OTC:SFTBY) (OTC:SFTBF) on bleak prospects of winning approval for the $40 billion chip deal, Bloomberg reports.
• Nvidia expressed pessimism to its partners regarding the deal's success. 
• SoftBank, meanwhile, is stepping up preparations for an Arm initial public offering as an alternative to the Nvidia takeover, the report adds. 
• The purchase touted to become the biggest semiconductor deal in history faced global backlash from regulators and the chip industry, including Arm's customers. 
• The U.S. Federal Trade Commission argued that Nvidia would become too powerful if it gained control over Arm's chip designs.
• Qualcomm Inc (NASDAQ:QCOM), Intel Corp (NASDAQ:INTC), and Alphabet Inc's (NASDAQ:GOOG) (NASDAQ:GOOGL) Google argued that Nvidia would fail to preserve Arm's independence because it's an Arm customer itself.
• Price Action: NVDA shares traded lower by 4.90% at $222.38 on the last check Tuesday.