Nvidia Wins Mellanox Stakes for $6.9 Billion

12 March, 2019, 05:58 | Author: Sally Reid
  • NVIDIA is Acquiring Israeli Chipmaker Mellanox for $6.9B

Nvidia on Monday announced it has agreed to buy Mellanox in a $6.9 billion all-cash deal.

Both Bloomberg and Reuters write that Nvidia will hand over the huge sum-the most it's ever paid for a purchase-later today. Mellanox is an interconnect company, with a range of Infiniband and Ethernet network adapters and switches, as well as a line of products descended from Tilera's processors.

"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".

Nvidia and Intel, as is usual for the companies, have refused to speculate on the sources' claims, but an announcement from the successful bidder is expected early this week. The company had a market capitalization of about US$5.9 billion at the end of trading on Friday.

"The emergence of AI and data science, as well as billions of simultaneous computer users, is fueling skyrocketing demand on the world's datacenters", said Nvidia founder and CEO Jensen Huang in a statement. Nvidia will use its newly acquired technology to make those giant warehouses full of machinery more efficient and effective, he said. To deal with this, data centers in future will be built as though they are single giant computers "with tens of thousands of compute nodes", requiring inter-connections that let them work in parallel.

Seven members of one family killed in deadly Alabama tornadoes
Dozens of people were injured and about 100 houses were destroyed by 170 mile-per-hour (264 km-per-hour) winds, officials said. The tornado that hit Lee County this past Sunday is the deadliest tornado to hit the United States since 2013 .

With the acquisition, the of Nvidia and Mellanox will have "every major cloud service provider and computer maker" as a customer. Xilinx is also a fabless semiconductor company that is apparently interested in snatching up its fellow chipmaker.

The deal will expand the offerings of Nvidia, which produces chips and other technologies for video games, facial recognition systems and autonomous vehicles.

It will reportedly help NVIDIA better compete in the server market, which accounts for about a third of its sales.

Goldman Sachs served as exclusive financial adviser to Nvidia, while Credit Suisse Group and JPMorgan Chase & Co. advised Mellanox.

Recommended:



Popular

INDIAN WELLS WTA: Osaka launches title defence in style
No. 2 seed Simona Halep needed almost two hours to beat qualifier Kateryna Kozlova 7-6 (3), 6-3 in the third round. Defending champion Osaka beat Kristina Mladenovic 6-3, 6-4 in her first attempt at defending a WTA Tour title.

Imran Khan: Won't let armed groups function in Pakistan
Pakistan faces growing worldwide pressure to rein in Islamist groups that carry out attacks in neighbouring India . The next day, Islamabad captured an Indian Air Force pilot after a dogfight between the two air forces.

What Time Do the Clocks Change? Daylight Savings Time2019
With about a dozen clocks to change, the process begins on the Friday before the time-change and can take a few days to complete. Vern Buchanan reintroduced the Sunshine Protection Act , which wants to implement Daylight Saving Time all year.

Kelly interview becomes a spotlight moment for Gayle King
These stunning stories led to the singer being charged with 10 counts of aggravated criminal sex abuse. Saturday Night Live kicked off its latest episode with a parody of R Kelly's CBS interview this week.

India asks Pakistan for concrete crackdown on terror groups:The Asahi Shimbun
The next day Pakistani aircraft shot down at least one Indian aircraft and captured its pilot after it violated the airspace. But Khan said there was a huge desire to build a peaceful and stable Pakistan.

Charlotte Russe to close all stores, liquidation sales begin
The company originally filed for Chapter 11 bankruptcy protection in early February, outlining a plan to close 94 stores. Payless ShoeSource and clothing retailer Gymboree both have followed that path to recent months.

British ISIS bride Shamima Begum's baby dies
Her lawyer, Tasnime Akunjee, told the Guardian: "We have strong but as yet unconfirmed reports that Shamima Begum's son has died". Ms Begum said she had previously lost two other children and named her new son Jarrah after her firstborn.

Number of injured in Kashmir blast rises to 26
After Thursday's attack, former Jammu and Kashmir chief minister and National Conference leader Omar Abdullah tweeted, "Tragic". Riyaz was injured in the blast at the General bus stand, succumbed at a hospital early Friday around 1:15 am, reports said.

Captain Marvel ‘Changed My Life’ Claims Star Brie Larson
She actually has an inner glow, bright light shining out from her hands. "It is surreal that the film is finally happening". This is the first Marvel movie since the death last November of Stan Lee, the founding father of Marvel Comics .

In a blow to Trump, America’s trade deficit hit record US$891b
We were at the tail end of the Great Recession then, and, because the economy was bad, Americans bought less stuff from overseas . No matter how many times Merkel points to German plants in the US producing cars and employing Americans, Trump doesn't get it.