Intel might be in talks to acquire deep learning chip startup Habana Labs for over $1 billion, based on Tuesday’s report. It would be Intel’s third main artificial intelligence (AI) startup acquisition after Movidius and Nervana in 2016.
A report surfaced online, citing an anonymous source “acquainted with the matter.” Intel is in “advanced talks”, in accordance with the person, and the potential agreement is valued at between $1 and $2 billion. This would make it Intel’s largest acquisition since the $15.3 billion deal to acquire Israel-based Mobileye back in 2017.
Habana Labs, one of many AI start-ups, was based in 2016 by two former executives of 3D sensing firm PrimeSense, which was purchased by Apple back in 2013 for $360 million. Its objective is to create processors for deep learning training and inference with higher efficiency, scalability cost, and power “from the ground-up.” The corporate has raised a total of $120 million and employs 120 people. The last investing round in November last year gave it $75 million and was initiated by Intel Capital. At the time, Habana CEO said Intel had no plans for working alongside Habana.
If the offer goes through, it would be a noteworthy addition to Intel’s portfolio. For the last several years, Intel has been investing in AI companies from edge to data center and CPU to ASIC, in addition to software enablement.
Habana Labs, one of many AI startups, was started in 2016 by two former executives of 3D sensing firm PrimeSense, which was bought by Apple back in 2013 for $360 million.