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NVIDIA acquires Mellanox in a deal worth $6.9 billion

The rumors were true, as NVIDIA has just acquired network giant Mellanox for $6.9 billion

By Anthony Garreffa on Mar 11, 2019 09:28 pm CDT - 1 min, 8 secs reading time

The rumors from the last 48 hours or so have been correct: NVIDIA has just announced it is acquiring Mellanox in a deal worth $6.9 billion. Mellanox is a networking company that is a leader in its field, building super-fast interconnects for datacenters, a market that NVIDIA itself dominates in with its GPUs.

NVIDIA acquires Mellanox in a deal worth $6.9 billion | TweakTown.com

Mellanox was being eyed off by other companies including Intel, but the Israeli-based chipmaker has become NVIDIA's largest acquisition ever. The acquisition will see NVIDIA bolster its position in the datacenter and server markets, which account for nearly 1/3 of its sales. Mellanox mostly makes chips that power high-speed ethernet and InfiniBand networks that are found in servers, primarily in datacenters in the cloud and storage worlds as well as super-fast supercomputers for AI and deep learning.

NVIDIA CEO and founder Jensen Huang said: "The emergence of AI and data science, as well as billions of simultaneous computer users, is fueling skyrocketing demand on the world's datacenters. Addressing this demand will require holistic architectures that connect vast numbers of fast computing nodes over intelligent networking fabrics to form a giant datacenter-scale compute engine".

Mellanox CEO Eyal Waldman said: "Combining our two companies comes as a natural extension of our longstanding partnership and is a great fit given our common performance-driven cultures".

Anthony Garreffa

ABOUT THE AUTHOR - Anthony Garreffa

Anthony is a long time PC enthusiast with a passion of hate for games to be built around consoles. With FPS gaming since the pre-Quake days, where you were insulted if you used a mouse to aim, he has been addicted to gaming and hardware ever since. Working in IT retail for 10 years gave him great experience with high-end, custom-built PCs. His addiction to GPU technology is unwavering, and with next-gen NVIDIA GPUs about to launch alongside 4K 144Hz HDR G-Sync gaming monitors and BFGDs (65-inch 4K 120Hz HDR G-Sync TVs) there has never been a time to be more excited about technology.

NEWS SOURCE:tweaktown.com

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