SoftBank's acquisition of AI chip designer Ampere may be facing an FTC probe

SoftBank's $6.5 billion acquisition of AI-chip designer Ampere is facing an in-depth US government probe that may delay the deal, according to Bloomberg. The Federal Trade Commission (FTC) has opened a so-called second request for information, a relatively rare investigation that can go on for more than a year or even lead to a lawsuit blocking it, according to people familiar with the matter. Neither SoftBank nor Ampere have commented on the matter.

Japan's SoftBank, headed by Masayoshi Son, already owns chip designer Arm following a $32 billion acquisition in 2016. Ampere, founded in 2018 with a focus on cloud-native computing, recently moved strongly into AI chip design — so SoftBank is betting that the company will bolster's Arm's research and development in that area. Under the deal, Santa Clara-based Ampere would would keep its name and run as a wholly-owned subsidiary.

If the deal ...