What is Nvidia reportedly acquiring Groq for?

Nvidia is reportedly acquiring Groq for $20 billion in cash.

Does the Nvidia-Groq deal include Groq's cloud business?

No, the reported acquisition of Groq by Nvidia includes all assets except for Groq's nascent cloud business.

When will Groq investors be notified of the Nvidia deal?

Groq investors are expected to be alerted about the acquisition later in the day.

Home / Business and Economy / Nvidia Eyes AI Chip Leader Groq for $20 Billion

Nvidia Eyes AI Chip Leader Groq for $20 Billion

25 Dec

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Summary

Nvidia is reportedly acquiring AI chip designer Groq for $20 billion.
The deal includes all of Groq's assets but excludes its cloud business.
Investors in Groq are expected to be notified of the acquisition today.

Nvidia Eyes AI Chip Leader Groq for $20 Billion

Nvidia, a leader in graphics processing units, has reportedly agreed to purchase Groq, a company specializing in advanced artificial intelligence accelerator chips. The proposed acquisition is valued at $20 billion in cash. This move would significantly bolster Nvidia's capabilities in the rapidly evolving AI hardware market, a sector experiencing intense competition and rapid innovation.

The transaction encompasses all of Groq's technological assets and intellectual property. However, Groq's relatively new cloud computing business has been excluded from the deal. This strategic carve-out suggests potential future plans for the cloud division separate from the core chip design entity being acquired by Nvidia.

Groq is expected to inform its investors about the confirmed acquisition later today. This news signals a major development in the semiconductor industry, particularly for companies focused on AI applications. Both Nvidia and Groq have not yet officially commented on the reported deal.

Disclaimer: This story has been auto-aggregated and auto-summarised by a computer program. This story has not been edited or created by the Feedzop team.