Qualcomm Buys Modular for Nearly $4 Billion as It Pushes Beyond Mobile Chips
Updated
Updated · WIRED · Jun 24
Qualcomm Buys Modular for Nearly $4 Billion as It Pushes Beyond Mobile Chips
3 articles · Updated · WIRED · Jun 24
Summary
$4 billion is the implied value of Qualcomm’s all-stock purchase of AI chip software startup Modular, with up to 19.2 million shares to be issued and closing expected in the second half.
Modular brings a software platform and coding language that let developers run AI programs across different chips without rewriting code, plus roughly 150 employees including cofounders Chris Lattner and Tim Davis.
$300 million of the deal is earmarked for Modular employees, and the price marks a sharp step-up from the startup’s $1.6 billion valuation just nine months after it raised $250 million.
Qualcomm is using the acquisition to widen its AI footprint beyond smartphones into wearables and data centers, where it is already developing custom ASICs and bought server-chip startup Ventana Micro Systems last year.
Modular had positioned itself as a cross-chip software layer challenging Nvidia’s CUDA and AMD’s ROCm, making the takeover a strategic bet on more open, developer-friendly AI infrastructure.
Is Qualcomm’s multi-billion dollar AI gamble a genius move beyond mobile or a high-stakes distraction from its core business?
Can one new programming language truly unify the fragmented world of AI hardware and dethrone established industry giants?
Qualcomm Acquires Modular Inc. for $600 Million, Targeting Nvidia’s AI Market Share with MAX and Mojo
Overview
Qualcomm is nearing a deal to acquire Modular Inc., aiming to strengthen its position in the fast-growing AI sector. By acquiring Modular, Qualcomm could gain access to technology and talent that offer alternatives to Nvidia’s dominant software. Modular’s foundation, built on the MAX inference platform and Mojo programming language, delivers efficient, portable, and high-performance AI across diverse hardware. This move directly challenges the fragmented AI development landscape, enabling Qualcomm to make an ambitious push into artificial intelligence and enhance its market position with innovative, hardware-agnostic solutions.