Arm plans job cuts following failed merger with Nvidia
Cambridge-based chip design provider Arm is reportedly planning to cut up to 15% of its global workforce.
Rene Haas, new Chief Executive Officer of Arm since about a month back, made the announcement to his staff by email yesterday, the Telegraph reports.
The redundancies, Hass told, would affect ”12 to 15 percent of Arm’s global workforce”. The company currently has 6,400 employees, of which 3,500 are based in the UK. This means that 1,000 employees could be at risk, the paper writes. If these reported redundancies go ahead, most job losses would be in the UK and US.
“To be successful in the opportunities we have ahead of us, we need to be more disciplined about our costs and where we’re investing, Haas said in the email, according to the Telegraph.
Earlier this year Nvidia and SoftBank, Arm's Japanese owner, terminated Nvidia's USD 40 billion acquisition of Arm. A deal – had it gone through –would have become the largest semiconductor deal in history.
The parties terminated the agreement due of what was describe as; "significant regulatory challenges preventing the consummation of the transaction, despite good faith efforts by the parties".
