SoftBank, the Japanese multinational, has finalized its acquisition of Graphcore, a prominent UK-based startup specializing in AI chip technology. While specific financial details remain undisclosed, the deal marks a significant move in SoftBank's strategy to bolster its position in the competitive AI hardware market, potentially rivaling industry giants like Nvidia.
Graphcore, founded in Bristol in 2016, has gained attention for its innovative "intelligence processing units" (IPUs), designed uniquely for AI workloads. Unlike traditional GPUs, Graphcore's IPUs focus on enhancing efficiency and scalability for complex machine learning models, a critical factor in today's AI-driven applications.
The acquisition follows Graphcore's journey of raising approximately $700 million in funding and achieving a valuation close to $3 billion. Despite setbacks, including exiting the Chinese market due to regulatory challenges, Graphcore has maintained its reputation as a leading innovator in AI hardware technology.
Under SoftBank's ownership, Graphcore will continue its operations as a wholly-owned subsidiary, headquartered in Bristol with additional hubs in London, Cambridge, Poland, and Taiwan. The acquisition has received regulatory approvals, affirming Graphcore's pivotal role in SoftBank's broader AI ambitions, spanning from data centers to cutting-edge semiconductor development.
Graphcore's co-founders, Nigel Toon and Simon Knowles, will retain their executive roles, emphasizing continuity and growth within the company's leadership. While the acquisition signals a new chapter for Graphcore, stakeholders anticipate continued advancements in AI hardware innovation under SoftBank's strategic direction.
The move underscores SoftBank's commitment to advancing artificial intelligence capabilities globally, positioning Graphcore as a key asset in its pursuit of next-generation semiconductor technologies critical for the future of AI and scientific discovery.
