Nvidia to acquire high performance computing company Mellanox for $6.9 billion

The company reportedly beat out bids from Intel and Microsoft on the way to the nearly $7 billion sale.

Newsbrief: Nvidia has penned an agreement that will ultimately see it acquire the leading computing company Mellanox for $6.9 billion, or $125 a share. Once finalized, the deal will become Nvidia’s biggest acquisition to date.

It’s a hefty deal, and one that Nvidia reportedly beat out bids from Intel and Microsoft to arrange. Nvidia and Mellanox, meanwhile, have worked together in the past but the acquisition creates new opportunities for the company in terms of datacenter-caliber computing tech.

Both Nvidia and Mellanox contributed to the creation of two supercomputers operated by the U.S. Department of Energy and between them power over 250 of the world’s 500 most powerful supercomputers. 

“We’re excited to unite Nvidia’s accelerated computing platform with Mellanox’s world-renowned accelerated networking platform under one roof to create next-generation datacenter-scale computing solutions,” said Nvidia founder and CEO Jensen Huang in a statement. “I am particularly thrilled to work closely with the visionary leaders of Mellanox and their amazing people to invent the computers of tomorrow.”

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