Nvidia has agreed to acquire AI chip designer Groq for approximately $20 billion in an all-cash deal, marking its largest acquisition to date. The move is a significant strategic step for Nvidia to further solidify its dominance in the market for artificial intelligence accelerator chips.
Groq, a startup known for its high-performance AI chips designed for inference tasks, was reportedly not actively seeking a sale when approached by Nvidia. The acquisition follows a recent funding round in September where Groq was valued at about $6.9 billion. The deal includes all of Groq's assets except for its emerging cloud business.