Nvidia Acquires Enfabrica in $900M Talent and Tech Deal

Nvidia has secured Enfabrica's CEO Rochan Sankar and its hardware technology in a deal valued at over $900 million. The transaction, finalized last week, combines cash and stock to bring Sankar onto Nvidia's payroll while granting the chipmaker access to infrastructure that interconnects up to 100,000 GPUs as a unified system.

The MOVE mirrors Big Tech's acqui-hire strategy for AI talent, sidestepping regulatory scrutiny seen in traditional acquisitions. Enfabrica's data-center scaling solutions—critical for Nvidia's multi-GPU racks powering facilities like Microsoft's $4 billion Wisconsin project—position the buyer to deliver turnkey AI systems.

Nvidia previously invested in Enfabrica's 2023 Series B round led by Atreides Management, when the startup claimed a valuation five times its prior funding stage. This acquisition continues the industry's talent consolidation trend, following Meta's $14.3 billion June deal for Alexandr Wang's AI team.