Nvidia Will Buy Mellanox Technologies for $6.9 Billion

Nvidia will acquire fellow chipmaker Mellanox Technologies for $6.9 billion in a deal that will boost Nvidia’s data center business and better position it to compete against Intel in that space. Mellanox has headquarters in Sunnyvale, California, and Yokneam, Israel, and is perhaps best known for its high-speed networking interconnects. The two companies have partnered over the years on data center servers that combine Nvidia graphics processing units (GPUs) and Mellanox interconnects. They claim that between them they count every major cloud service provider and computer maker as customers. The companies expect the transaction to close by the end of this year.