Nvidia in Advanced Talks to Acquire Israel's AI21 Labs for Up to $3 Billion Following $20 Billion Groq Deal

According to foreign media reports, after securing a non-exclusive licensing agreement worth up to $20 billion with AI chip startup Groq and absorbing its core team, Nvidia is now engaged in advanced negotiations to acquire Israeli artificial intelligence firm AI21 Labs, with the potential transaction value reaching $3 billion.
Key Details
Groq Deal Context: The $20 billion non-exclusive licensing agreement, announced on December 24, 2025, grants Nvidia access to Groq's specialized AI inference chip technology while bringing Groq founder Jonathan Ross, President Sunny Madra, and key team members into NvidiaGroq.
AI21 Labs Acquisition Status: Talks with the Israel-based generative AI company have advanced to senior management levels of both organizations, with a reported valuation range of $2–3 billion.
Strategic Significance: This follows Nvidia's recent acquisition spree in Israel, including Deci and Run:ai in 2023, and would strengthen its AI talent pool and generative AI capabilities.