Dec 24 (Reuters) – Nvidia has agreed to buy Groq, a designer of high-performance artificial intelligence accelerator chips, for $20 billion in money, CNBC reported on Wednesday.
While the acquisition contains all of Groq’s property, its nascent Groq cloud enterprise just isn’t a part of the deal, the report mentioned, citing Alex Davis, CEO of Disruptive, which led the startup’s newest financing spherical.
Groq is a chip startup based by Jonathan Ross and makes a speciality of producing AI inference chips designed to optimize pre-trained fashions.
The firm greater than doubled its valuation to $6.9 billion, from $2.8 billion in August final 12 months, following a $750 million funding spherical in September.
A deal for the reported quantity would mark the most important acquisition by Nvidia following its $6.9 billion deal for Mellanox Technologies.
Groq is anticipated to alert its buyers about the deal later within the day, CNBC reported.
Nvidia and Groq didn’t instantly reply to Reuters request for feedback.
(Reporting by Harshita Mary Varghese in Bengaluru; Editing by Shailesh Kuber)