Tech giant Arm to slash hundreds of jobs after Nvidia $40bn takeover falls through
Cambridge-based technology titan Arm has announced it will slash hundreds of jobs after a $40bn sale to a US tech firm fell through.
The chipmaker has informed staff it will cut up to 15 per cent of roles, following the collapse of a sale to rival Nvidia last month.
Arm’s chief executive, Rene Haas, told staff on Monday that some 12-15 per cent of the firm’s global workforce would be impacted by a redundancy plan.
Most of the job losses will be in the UK and US, staff were told. The firm employs some 3,000 people in the UK.
Arm said: “Like any business, Arm is continually reviewing its business plan to ensure the company has the right balance between opportunities and cost discipline. Unfortunately, this process includes proposed redundancies across Arm’s global workforce.”
The takeover fell through last month after SoftBank blamed regulatory hurdles. The Japanese conglomerate said it would look to list Arm on New York’s Nasdaq instead, in a blow for the UK tech industry.
The government is keen to entice more tech companies to make debuts on the London Stock Exchange, CityA.M. reported last month.
“If we could get Arm to stay and list in the UK that would be a very significant win, and would show the London Stock Exchange can be a real anchor for more tech businesses that want to list here,” said Russ Shaw, Boss of Tech London Advocates.
“But this is going to be a hard slog over the coming years.”