Illustration: Aïda Amer/Axios
Intel (Nasdaq: INTC) paid around $2 billion to acquire Habana Labs, an AI processor startup based in Israel.
Why it matters: Intel continues buying big to succeed in the AI chip market, which it expects to be worth more than $25 billion by 2024, even if some past acquisitions haven't yet worked out as planned.
- ROI: Habana had raised $120 million over two rounds of VC funding, from Intel, Bessemer Venture Partners, Samsung, Walden International, and WRV Partners.
The bottom line: "The microprocessor giant is hell-bent on getting internet giants and enterprises to use its neural-network math coprocessors, rather than GPUs and specialist custom parts from Nvidia and others, and it's hoping this Habana upstart will help that dream come true." — Katyanna Quach, The Register