Commons Sense

House of Commons · Adjournment Debate

ARM: Foreign Acquisition

21 September 2020 · 1 other contributor

Opened by Daniel Zeichner Lab Cambridge

Foreign AffairsScience & TechnologyBusiness & Trade

Summarised by AI from the official record, so it can contain mistakes.

Read the full transcript on Parliament.uk

At a glance

Daniel Zeichner raised concerns about arm: foreign acquisition in the House of Commons. A government minister responded. Other MPs also contributed.

Key points

  • ARM, a UK-based tech company founded in 1990, designs and licenses chips for global use in smartphones and other smart devices.
  • The sale of ARM to Nvidia has raised concerns about job security and the impact on UK technological independence.
  • The Government is reviewing the full impact of ARM's sale under the Enterprise Act 2002, considering intervention on public interest grounds.

How the debate unfolded

MPs spoke in turn to share their views and ask questions. Here's what each person said.

Opened the debate

Daniel Zeichner Lab Cambridge

This debate addresses the future of ARM, a UK-based tech company being sold to Nvidia. Established in Cambridge in 1990, ARM designs and licenses chips used globally, particularly in smartphones, sensors, smart devices, and cloud computing technologies. With around 2,700 employees across the country, including many highly skilled jobs, the sale raises concerns about job security, headquarters location, and the impact on UK technological independence. The MP urges the government to scrutinise the deal carefully and impose strict legal conditions to ensure ARM’s success model is maintained and its technology remains out of foreign policy influence.

Other contributors (1)
  • Andrew Griffith Con unknown constituency

    Welcomes the sale as a positive move, emphasising that Nvidia will maintain ARM's presence in Cambridge and supports UK business conditions.

Government Response

Caroline Dinenage

The Minister thanked Daniel Zeichner for raising this important issue. She explained the Government’s commitment to protecting a vibrant tech sector in the UK and its role in innovation, especially microprocessor design. The Enterprise Act 2002 allows government intervention on four public interest grounds: financial stability, national security, media plurality, and public health emergencies. Ministers are reviewing the full impact of ARM's sale by Nvidia, considering legal steps under the Act without prejudice to any future decision-making process. She confirmed that discussions with companies have been ongoing but declined to discuss commercial aspects. The Minister emphasised UK leadership in tech innovation, investment in science and technology, and promotion of the UK as a business-friendly environment for tech firms. She assured the MP she will keep him informed about developments related to ARM's future.

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