In the divided world of semiconductors, Arm is frequently compared to Switzerland.
The UK-based business is built on a foundation of neutrality.
Rather than build chips, Arm merely designs their blueprints.
The company then licences the IP to almost every major semiconductor maker without directly competing against them.
But the independence that underpins Arm has become contentious.
Meanwhile, a budding contender has emerged with a promise of true impartiality: the RISC-V Foundation.
The deal would give control of Arm to the most valuable semiconductor company in the US.
Suddenly, the Switzerland of semiconductors looked like a very different place.
It would also mean that equal access to that technology might no longer be available.
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Two years after the acquisition was announced, the transactioncollapsed.
Arms current owner, SoftBank, chose to pursue an initial public offering instead.
Yet the new bidders could also be chipmakers with conflicting interests.
Crucially, its alsoopen source,which means no single entity controls it.
As a result, clients could avoid partnering with Arm, and paying the provider to ensure compatibility.
The foundation also has a very different relationship with Switzerland.
While Arm has a figurative link to the country, RISC-Vs connection is literal.
The relocation created another selling point for RISC-V, particularly in China Arms biggest market.
In the US, the architecture is also attracting some eye-catching supporters.
Earlier this month, backers of RISC-V formed a powerful new team.
The new venture elevates RISC-V as a rival to Arm.
As Lippett notes, the buy-in from such established, wealthy, and knowledgeable companies should accelerate the uptake.
The involvement of Qualcomm is particularly striking.
Tensions between the partners emerged during the proposed Nvidia takeover.
A few months later, Arm sued Qualcomm.
The lawsuit accuses the US business of using Arm IP without permission.
The RISC-V venture has magnified both of these strains.
We should be wary of any de facto standard.
Automotive is merely the start of the ambitions.
The new venture plans to later expand into mobile and IoT ecosystems.
The groups founders have also called for support from industry associations, leaders, and governments.
They claim that the initiative will strengthen the broader semiconductor industry.
The plans create another headache for Arm, which has a core market that is running out of growth.
In its latest financial quarter, the company posted an 11% decline in sales in dollar terms.
Nonetheless, Arm maintains several advantages over its emerging rival.
To many potential clients, RISC-V will seem a far riskier proposition.
But the benefit of RISC-V is that you have the freedom to develop and extend it.
The new company, however, evokes a similar concern to the one engulfing Arm.
As Lippett notes, it too could be acquired by a single chip giant.
The open-source nature of RISC-V helps to mitigate that concern, to some extent.
For now, RISC-V seems unlikely to rival Arm as a global power.
But it could become a truer emulation of Swiss neutrality.
Story byThomas Macaulay
Thomas is the managing editor of TNW.
He leads our coverage of European tech and oversees our talented team of writers.
Away from work, he e(show all)Thomas is the managing editor of TNW.
He leads our coverage of European tech and oversees our talented team of writers.
Away from work, he enjoys playing chess (badly) and the guitar (even worse).
