Arm to hand control of IoT divisions to Softbank to focus on chips
UK-based chip design company Arm is looking to hand control of its burgeoning IoT platform and data analytics businesses over to parent company Softbank, to distribute to “new entities”, in order to strengthen its focus on its core semiconductor business.
Japanese telecoms firm Softbank will spin off the units – including its Pelion IoT device and data management platform and Treasure Data analytics engine – to other group businesses, said Arm, to be “owned and operated by SoftBank and its affiliates”.
Arm will deepen its focus on its core semiconductor intellectual property (IP) business. It said it will continue to collaborate with its old IoT Services Group (ISG) businesses. The transfer is expected to close by the end of September 2020.
Simon Segars, chief executive officer at Arm, commented: “Arm believes there are great opportunities in the symbiotic growth of data and compute. SoftBank’s experience in managing fast-growing, early-stage businesses would enable ISG to maximize its value in capturing the data opportunity.
“Arm would be in a stronger position to innovate in our core IP roadmap and provide our partners with greater support to capture the expanding opportunities for compute solutions across a range of markets.”
Arm acquired data management company Treasure Data two years ago, following quickly on the heels of its purchase of Stream Technologies, as “the final piece of our IoT enablement puzzle”.