Nvidia Enters $20 Billion Licensing Agreement with Groq
Nvidia has signed a non-exclusive licensing agreement with AI chip startup Groq for its inference technology, reportedly valued at $20 billion—three times Groq’s last valuation of $6.9 billion following a $750 million financing round. As part of the agreement, Groq’s founder and CEO Jonathan Ross, along with other key personnel, will join Nvidia to advance this technology.
This marks Nvidia’s largest deal to date, exceeding its previous $6.9 billion acquisition of Mellanox Technologies in 2020. Although Groq will continue to operate under new leadership, Nvidia’s acquisition of talent and technology aims to enhance its position in the AI inference market, where competition is intensifying from companies such as AMD and Broadcom.
