U.S. graphics chip maker Nvidia said it plans to buy U.K.—based Arm Holdings in a deal worth up to $40 billion, in a move that would create a global powerhouse in the industry. Under the terms of the deal, Nvidia will pay SoftBank $21.5 billion in stock and $12 billion in cash. Nvidia CEO Jensen Huang join "Squawk on the Street" by phone to discuss the deal.