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Nvidia invests $900 million to acquire Enfabrica talent and technology

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Nvidia has reportedly spent more than $900 million to bring Enfabrica’s CEO, Rochan Sankar, and other staff into the company, while also securing a license for Enfabrica’s technology, according to CNBC. The deal, a mix of cash and stock, closed last week, and Sankar has already taken up his new role at Nvidia.

Enfabrica, a Silicon Valley chip startup founded by former Broadcom and Alphabet engineers, specializes in solving one of AI’s biggest bottlenecks: interconnecting massive numbers of chips efficiently. Its networking technology allows around 100,000 AI chips to work together as if they were one computer—minimizing costly downtime caused when processors wait for data to move across networks.

The startup had previously raised $260 million in venture capital and in July unveiled a chip-and-software system designed to reduce memory chip costs in large-scale AI data centers. Nvidia’s acquisition echoes a recent trend of tech giants pulling in specialized startups and their leaders to strengthen AI infrastructure. Meta recently took a 49% stake in Scale AI while elevating its CEO Alexandr Wang to a strategic role, and Google hired top staff from AI code generation startup Windsurf after OpenAI attempted to acquire it.

Neither Nvidia nor Enfabrica has publicly commented on the reported deal.

Nvidia spends $900M to hire Enfabrica CEO and license startup’s tech

/in /tarafından

Nvidia (NVDA.O) has spent more than $900 million to bring on Enfabrica CEO Rochan Sankar, along with other employees from the AI hardware startup, while also licensing the company’s technology, CNBC reported Thursday.

The deal, paid in cash and stock, closed last week, and Sankar has already joined Nvidia, according to people familiar with the arrangement.

Enfabrica, based in Silicon Valley, is addressing a major bottleneck in artificial intelligence: how to connect tens of thousands of chips into a network that can operate as a single, unified computer. Without efficient networking, even high-performance chips like Nvidia’s can sit idle while waiting for data. The startup’s technology reportedly enables up to 100,000 AI chips to be linked before network slowdowns occur.

Nvidia declined to comment on the report, and Enfabrica did not immediately respond to inquiries. Founded by former Broadcom (AVGO.O) and Alphabet (GOOGL.O) veterans, Enfabrica has raised $260 million in venture capital and in July launched a chip-and-software system designed to reduce memory costs in data centers.

The move mirrors recent strategies by Big Tech rivals. In June, Meta (META.O) acquired a 49% stake in Scale AI and brought CEO Alexandr Wang into its AI leadership, while Google hired key staff from Windsurf, an AI code generation startup courted by OpenAI.