The global giant of processors, cards and graphics chips cuts the grass under the feet of Intel and Microsoft by seizing Mellanox. A historic transaction.
NVIDIA has officially confirmed that it has got its hands on Monday, March 11, 2019, the Israeli equipment maker Mellanox. The deal will cost the American giant $ 6.9 billion and is already the biggest takeover of the firm since its inception in 1993. This union between NVIDIA and Mellanox, specialist in high-performance computing and network solutions, should be completed by the end of the year, after obtaining the approval of the US regulatory authorities, who should not oppose it.
Two companies that know each other well
For Jensen Huang, founder and CEO of NVIDIA, the acquisition of Mellanox will enable his company to ” create next-generation computing solutions across data centers.” For the boss and founder of Mellanox, Eyal Waldman, the union of the two companies is ” the natural extension ” of the longstanding partnership that binds them and ” is an ideal fit given the common cultures focused on performance.”
The two companies had actually collaborated to build the two most powerful supercomputers in the world, Sierra and Summit.
Mellanox was particularly coveted by two giants of technology: Microsoft and Intel, which had proposed $ 6 billion to afford the Israeli firm. The announcement of the buyout, in any case, made leap NVIDIA share of some points on the stock market.
Mellanox is a successful company, which for the first time in its history crossed the threshold of one billion dollars in revenue, with a growth of 26% over one year and profits of around 151 million dollars. Among its customers, it includes behemoths like IBM, Dell, Oracle, Hewlett-Packard, AMD, Qualcomm.