SoftBank agrees to acquire Ampere Computing for $6.5B in cash, with Oracle and Carlyle selling their stakes as part of the deal, expected to close in H2 2025 (Bloomberg)

**Summary of SoftBank's Acquisition of Ampere Computing** In a significant move in the technology sector, SoftBank Group Corp. has agreed to acquire Ampere Computing, a leading designer of Arm-based processors for cloud and edge computing, for $6.5 billion in an all-cash deal. The transaction, which is expected to close in the second half of 2025, marks a strategic shift for SoftBank as it seeks to expand its footprint in the semiconductor industry. As part of the deal, both Oracle and The Carlyle Group, current investors in Ampere, will be selling their stakes, fully transferring ownership to SoftBank. **Key Events and Participants:** - **SoftBank Group Corp.**: The Japanese multinational conglomerate is the acquiring party in this deal, aiming to strengthen its position in the high-growth cloud and edge computing markets. - **Ampere Computing**: Based in Santa Clara, California, Ampere is a prominent chip designer known for its innovative Arm-based processors. The company has been at the forefront of developing energy-efficient and high-performance computing solutions, which are increasingly in demand as data centers and cloud services expand globally. - **Oracle and The Carlyle Group**: These two entities are selling their stakes as part of the acquisition, indicating a successful exit from their investment in Ampere. **Deal Details:** - **Value**: The deal values Ampere at $6.5 billion, reflecting the company's strong market position and technological advancements. - **Transaction Type**: The acquisition is an all-cash transaction, which suggests a straightforward and immediate financial commitment from SoftBank. - **Expected Closure**: The acquisition is anticipated to close in the second half of 2025, allowing time for regulatory approvals and the integration of Ampere into SoftBank's broader technology portfolio. **Implications:** - **Expansion into Semiconductors**: This acquisition is part of SoftBank's strategy to diversify its investments and deepen its involvement in the semiconductor industry, a sector that is critical for the development of next-generation technologies such as artificial intelligence, 5G, and the Internet of Things (IoT). - **Complementary Strengths**: Ampere's expertise in Arm-based processors complements SoftBank's existing assets, including its stake in Arm Holdings, a leading semiconductor and software design company. The integration of Ampere's technology is expected to enhance SoftBank's ability to offer advanced computing solutions to its clients. - **Market Impact**: The acquisition is likely to have ripple effects in the cloud and edge computing markets, where competition is intense. Ampere's technology is seen as a key differentiator, offering superior performance and efficiency compared to traditional x86-based processors from companies like Intel and AMD. **Background on Ampere Computing:** Ampere Computing was founded in 2017 and has quickly become a leader in the design of Arm-based processors for the data center and cloud computing segments. The company's products are designed to meet the growing demand for scalable, high-performance, and energy-efficient computing solutions, which are essential for modern data centers and cloud services. Ampere's success has been driven by its focus on Arm architecture, which is known for its lower power consumption and higher performance per watt, making it an attractive choice for cloud providers looking to reduce operational costs and improve sustainability. **SoftBank's Technology Portfolio:** SoftBank has a diverse technology portfolio, including significant investments in AI, robotics, and telecommunications. The acquisition of Ampere aligns with SoftBank's vision of becoming a major player in the technology sector, particularly in areas that are expected to drive future growth. By integrating Ampere's technology, SoftBank can better position itself to meet the demands of its clients in the cloud and edge computing markets, where the need for efficient and powerful processors is paramount. **Regulatory and Integration Challenges:** The acquisition is subject to regulatory approvals in various jurisdictions, which can sometimes delay the closure of such large deals. SoftBank will also face the challenge of integrating Ampere into its existing structure, ensuring that the company's culture and technological capabilities are preserved and enhanced. However, given SoftBank's experience in managing complex technology acquisitions, the company is well-positioned to navigate these challenges. **Conclusion:** SoftBank's acquisition of Ampere Computing for $6.5 billion is a strategic move that underscores the company's commitment to the semiconductor industry and its belief in the future of Arm-based processors. The deal, expected to close in the second half of 2025, will likely strengthen SoftBank's competitive stance in the cloud and edge computing markets, while providing Oracle and The Carlyle Group with a successful exit from their investment. As the technology landscape continues to evolve, this acquisition positions SoftBank to play a more significant role in shaping the future of computing.