Nvidia has entered talks to acquire Reflection AI. Under an acqui-hire structure, it is seeking an agreement within weeks, focusing on retaining employees and securing technology licenses.
Nvidia has reportedly entered talks to acquire US open-source AI startup Reflection AI, with an acqui-hire structure that could avoid regulatory review considered the leading option. The talks are at an early stage, and information has emerged that an agreement is expected within weeks.
Reflection is valued at $25 billion and works with the US Department of Defense and Department of Energy. The company has attracted attention as a US-based asset capable of competing with low-cost AI models, while Nvidia has already invested $800 million in it and is among its largest shareholders.
Nvidia may also consider increasing its stake or strengthening chip supplies as alternatives if the acquisition does not go ahead. Alongside its past transactions involving Groq and Hugging Face, strengthening its relationships by means other than an acquisition has been identified as an option.
Reflection is expanding its open-source ecosystem, including by releasing Beam, and has attracted significant attention from the perspective of the US open-weight frontier strategy and geopolitics. It is positioned as part of Nvidia's strategy to strengthen its ecosystem.