SoftBanks $6.5 Billion Acquisition of Ampere Computing: A Strategic Move for AI Chip Innovation

If you require additional proof that enterprises engaged in AI chip fabrication are striving to gain any competitive advantage available, SoftBank is expanding its institutional knowledge by acquiring Ampere Computing, founded by former Intel president Renee James. The conglomerate is investing $6.5 billion in liquid assets for this chip design enterprise.

Ampere, established by James in 2018, initially concentrated on cloud-native computing. It’s no surprise that the company has since shifted focus to «sustainable AI compute,» as noted in a press release.

SoftBank is hopeful that Ampere will enhance Arm’s research and development efforts. Recent reports revealed that Arm, which is also owned by SoftBank, is developing its own chip in-house.

«As SoftBank Group expands its investments in AI infrastructure through projects like Cristal intelligence and Stargate, this acquisition is poised to strengthen SoftBank Group’s capacities in vital sectors and expedite its growth strategies,» the company stated. After the transaction concludes, which is anticipated to occur later this year subject to regulatory approval and other conditions, Ampere will retain its name and function as a fully owned subsidiary.

«With a mutual goal of advancing AI technologies, we are thrilled to become part of SoftBank Group and collaborate with its collection of leading tech firms,» James, the CEO of Ampere, remarked in a statement. «This represents an exceptional outcome for our team, and we look forward to advancing our AmpereOne roadmap for high-performance Arm processors and AI.»