Nvidia to license AI chip challenger Groq’s tech and hire its CEO

Core Insights - Nvidia has entered a non-exclusive licensing agreement with AI chip competitor Groq, which includes hiring key personnel from Groq [1] - Nvidia is reportedly acquiring assets from Groq for $20 billion, potentially marking its largest acquisition to date, although Nvidia has not confirmed the specifics of the deal [2] - Groq has developed a language processing unit (LPU) that claims to run large language models (LLMs) ten times faster while consuming one-tenth of the energy compared to traditional chips [3] Company Developments - Groq recently raised $750 million at a valuation of $6.9 billion, indicating rapid growth, with its technology now powering AI applications for over 2 million developers, a significant increase from approximately 356,000 last year [4] - The founder of Groq, Jonathan Ross, is recognized for his innovative contributions to AI chip technology, including the development of the tensor processing unit (TPU) during his tenure at Google [3]