Nvidia completes acquisition of Mellanox in deal worth $7 billion

Just over one year ago, Nvidia began making its biggest acquisition in the company's history, reaching “a definitive agreement” to acquire Mellanox for roughly $7 billion. Big acquisitions don't happen quickly though, with the deal finally completing this month. 

Mellanox specialises in cloud computing, data centres and networking- several areas that Nvidia has been keenly focused on over the years. Combining Mellanox's networking technology with Nvidia's computing expertise should enable “higher performance, greater utilisation of computing resources and lower operating costs”.

Supercomputing will play a big roll here, as Nvidia and Mellanox power more than half of the world's top 500 supercomputers. This acquisition will also improve Nvidia's position in the AI and accelerated data science industries too.

The acquisition deal is now complete, meaning Mellanox is officially part of Nvidia's arsenal. Speaking on the closing of the acquisition, Nvidia CEO, Jensen Huang said: “With Mellanox, the new NVIDIA has end-to-end technologies from AI computing to networking, full-stack offerings from processors to software, and significant scale to advance next-generation data centers.”

Eyal Waldman, founder of Mellanox added his own statement: “This is a powerful, complementary combination of cultures, technology and ambitions. Our people are enormously enthusiastic about the many opportunities ahead.”

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KitGuru Says: Mellanox and Nvidia have officially joined forces, with a huge amount of money being spent to make it happen. Now we just have to wait and see what this means for Nvidia's AI, supercomputing and cloud businesses. 

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