Nvidia makes its largest-ever purchase with Groq agreement – Mashable
on December 25, 2025
Credit: Photo by Jakub Porzycki/NurPhoto via Getty Images
Groq, an AI chip startup, entered into an agreement with Nvidia to help “advance and scale” Groq’s tech.
“As part of this agreement, Jonathan Ross, Groq’s Founder, Sunny Madra, Groq’s President, and other members of the Groq team will join Nvidia to help advance and scale the licensed technology,” Groq announced in a blog post on Wednesday. “Groq will continue to operate as an independent company with Simon Edwards stepping into the role of Chief Executive Officer. GroqCloud will continue to operate without interruption.”
The deal was first reported as an exclusive with CNBC on Wednesday. Alex Davis, the CEO of Disruptive, the company that led Groq’s latest financing round, said Nvidia has agreed to buy Groq’s assets for $20 billion in cash, the news outlet reported.
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Davis’s firm has invested more than half a billion dollars in Groq over the past nine years, CNBC reported.
“We plan to integrate Groq’s low-latency processors into the NVIDIA AI factory architecture, extending the platform to serve an even broader range of AI inference and real-time workloads,” Nvidia CEO Jensen Huang wrote in an email obtained by CNBC.
This is Nvidia’s largest deal ever, according to CNBC.
The company, which produces GPU chips that power many AI models, has reported surging revenues this year. Nvidia made $57 billion in revenue during the third quarter of 2025, a whopping $2 million more than Wall Street analysts expected, Mashable’s Chris Taylor reported in November. The fourth quarter of 2025 is predicted to be even better for the company.
“Sales are off the charts,” Huang said of the company’s Blackwell chips at the time. “Cloud GPUs are sold out.”
Topics
Artificial Intelligence
Nvidia
Christianna Silva is a senior culture reporter covering social platforms and the creator economy, with a focus on the intersection of social media, politics, and the economic systems that govern us. Since joining Mashable in 2021, they have reported extensively on meme creators, content moderation, and the nature of online creation under capitalism.
Before joining Mashable, they worked as an editor at NPR and MTV News, a reporter at Teen Vogue and VICE News, and as a stablehand at a mini-horse farm. You can follow her on Bluesky @christiannaj.bsky.social and Instagram @christianna_j.
