US technology giant Intel is in advanced talks to buy Israeli start-up Habana labs for $1 billion to $2 billion, Israeli media calcalist reported on Tuesday, according to Lei Feng.
If the deal goes through, it will be Intel's second-largest acquisition in Israel, calcalist reported. The first acquisition was Intel's acquisition of mobile ye, an autonomous driving chip company, in 2017.
Last year, Intel's investment arm invested in Habana labs, the AI chip company, as part of a $75 million round B financing. The Israeli company has raised about $120 million so far, according to start up nation central, which tracks Israel's technology industry.
Habana labs, founded by David Dahan and ran Halutz in 2016, aims to improve the processing performance of AI chips and reduce their cost and power consumption. Its AI chips are mainly for the specific needs of deep neural network training.
Goya, the AI start-up's first processor, has been sold to customers around the world, and the company also launched its Gaudi AI training processor solution in June this year.
Habana labs is a wafer free design company. Chip manufacturing is entrusted to a third party. According to the official information, the company currently has 150 employees worldwide and offices in Tel Aviv, San Jose, California, Beijing and Gdansk, Poland.
In response to the rumors, calcalist reported that Intel declined to comment. Habana labs did not immediately respond to emails seeking comment.
Intel's current strategy is to focus on data. AI is a very important part of it. Intel already has AI chips from CPU, GPU, FPGA to ASIC. Not long ago, Intel said its AI revenue in 2019 would reach $3.5 billion, and announced more information about nervana nnp-i / T.
According to Lei Feng, Intel's complete chip type layout is its distinguishing feature from other AI chip providers, and it has acquired FPGA and AI ASIC through acquisition. Now, if we spend a lot of money to acquire cloud AI chip start-ups, whether they will overlap with the products produced by nervana NNP and whether they will integrate well is a topic worthy of attention.