Intel is reportedly exploring a potential acquisition of AI chip startup SambaNova Systems as part of its broader push into artificial intelligence hardware. The development comes shortly after Intel unveiled its Crescent Island data center GPU, the next step following its Gaudi line. According to Bloomberg and Reuters, early talks are underway, signaling Intel’s renewed appetite for major tech acquisitions.
Strategic Move to Strengthen AI Portfolio
If completed, the deal would represent a significant change in Intel’s strategy, following CFO David Zinsner’s earlier remarks that the company had no immediate plans for large takeovers. Industry watchers believe SambaNova’s expertise in custom chip design could help Intel compete more effectively against rivals like NVIDIA and AMD in the fast-expanding AI computing market.
Deep Ties Between Intel and SambaNova
SambaNova’s relationship with Intel runs deep. Founded in 2017 in Palo Alto, the startup received early backing from Intel Capital and other notable investors, including SK Telecom, Micron, Samsung Catalyst Fund, and BlackRock. Lip-Bu Tan’s involvement is especially noteworthy as his venture firm, Walden International, participated in SambaNova’s $56 million Series A round in 2018, laying the foundation for future collaboration.
Valuation and Financial Perspectives
Reports suggest SambaNova could be valued below the $5 billion mark it reached in 2021 when SoftBank led a massive $676 million fundraising round. Sources familiar with the matter said the startup is working with financial advisors to evaluate interest from potential buyers. While no final decision has been made, such a move would strategically expand Intel’s AI capabilities in inference and data processing technologies.
SambaNova’s Shift Toward Inference Computing
In recent months, SambaNova has refocused its operations toward the AI inference market, building systems optimized for running rather than training models. According to EE Times, the company laid off around 15 percent of its workforce—roughly 77 employees—to streamline operations. This pivot positions SambaNova as a competitive player in delivering cost-efficient AI deployment solutions for global enterprises.
