SoftBank Group has agreed to acquire Ampere Computing, a struggling ARM-based semiconductor designer, for $6.5 billion despite the target company’s worsening financial performance. The all-cash deal will give SoftBank complete ownership of the Santa Clara-based chip designer, which has seen its revenue plummet from $151.8 million in 2022 to just $16.5 million in 2024.
The acquisition requires approval from U.S. regulators including antitrust authorities and the Committee on Foreign Investment in the United States. Current Ampere shareholders include private equity firm Carlyle Group (59.65%), Oracle (32.27%), and ARM Technology Investment Limited (8.08%), which is already majority-owned by SoftBank.
Financial records reveal Ampere’s deepening troubles, with operating losses of $510.6 million in 2024 and negative net assets of $1.5 billion. Despite this concerning trajectory, SoftBank claims the company’s approximately 1,000 semiconductor engineers and technological capabilities will complement its existing ARM holdings and support its AI-focused growth strategy.
The deal, expected to close in the second half of 2025, will be financed through borrowings from Mizuho Bank and other financial institutions. The Raine Group is acting as SoftBank’s financial adviser, with a fairness opinion confirming the purchase price is appropriate despite Ampere’s financial challenges.
