Overview
- Groq said it entered a non-exclusive licensing agreement for its inference technology and will continue operating independently, with GroqCloud excluded and Simon Edwards named CEO.
- Founder Jonathan Ross, president Sunny Madra, and other engineers will join Nvidia to advance and scale the licensed technology, according to Groq's statement.
- An internal email reported by CNBC said Nvidia plans to integrate Groq’s low-latency processors into its AI factory architecture to support more inference and real-time workloads.
- CNBC, citing investor Alex Davis of Disruptive, reported the deal at roughly $20 billion and characterized it as an asset purchase, while neither company disclosed terms or confirmed an acquisition.
- Analysts and multiple outlets described the structure as an acquihire-style licensing arrangement that captures key IP and talent as Nvidia strengthens inference capabilities following Groq’s recent $750 million raise at a $6.9 billion valuation.