To: The Government
The sale of ARM Holdings.
Debate the sale of ARM Holdings, a UK tech success story, to an overseas bidder.
Why is this important?
ARM Holdings designs a licenses their designs to chip manufacturers, these designs are embedded in a vast proportion of the smart phones that we all use. SoftBank, the Japanese company that is to buy ARM, has guaranteed that there will be investment and no significant changes, our government supports the sale. ARM are well placed for the Internet of Things, are already profitable, so what is the motivation for the sale other than to get shareholders a payout on their investment? This is a short term approach. SoftBank is in debt to the tune of £75 billion, the takeover is £24.2 billion, they will have to borrow for the takeover ( The Independent). A government endorsed sale of a successful company well placed for future developments, why?