They may acquire control in 2027, according to a proxy statement.
Ampere, known for its server processors based on the ARM architecture, recently received news about potential sales, because although the company was the first truly appreciable alternative in the ARM field, the competition is very significant to achieve success in the short term. AMD’s EPYC designs are the main problem here, but the Intel Xeon 6 series also seems dangerous, not to mention that individual cloud service providers can design their own designs, for example, Amazon and Microsoft do this.
At the same time, Oracle has built on the company’s CPUs in terms of its own infrastructure, in fact, in a filing on Wednesday from the authorization statement it turned out that they had a 29 percent stake in Ampere on May 31 this year, and they have the opportunity to acquire majority ownership by 2027.
Oracle’s investment was valued at $1.5 billion as of May 31, 2024, and the company announced a $600 million convertible debt loan to Ampere during fiscal 2024, in addition to the previous fiscal year 400 million dollars in debt. Ampere’s debt will begin maturing in June 2026, at which time Oracle can convert these investments into additional capital. This would make it practically possible for them to own majority ownership. This is specifically addressed in the submitted document, which specifically states: if we or our co-investors take advantage of these opportunities, we would take over control of Ampere.
With this, Oracle could practically supply itself with quasi-self-designed ARM server processors, and Ampere could work on very interesting designs, highlighting its 512-core monster.
Source: prohardver.hu
