Nervana Systems is Intel’s newest acquisition. The chip giant has not yet revealed the exact amount of money it spent on the deal. However, rumors speak of a huge figure. The deep learning company is said to have cost Intel around $400 million.
Nervana Systems is a Californian artificial intelligence software company that provides customers with a cloud-based AI system. This enables businesses to design their own deep learning solutions. Nervana, although under the lead of Intel, will continue to operate independently. The team will go on with developing the Neon deep learning framework, the deep learning platform, and the Nervana Engine. Intel will use Nervana Systems’ IP on its platforms (for example, Intel Math Kernel Library and Intel Xeon Phi).
Here why Intel wants a piece of Nervana. The chip manufacturer’s revenues have declined but its HPC markets are doing good. Intel has acquired other companies that develop products beyond its competency in the past. Given that Nervana focuses on deep learning, which is vital to AI and computing, then Intel has made one smart move.
“With this acquisition, Intel is formally committing to pushing the forefront of AI technologies,” says Naveen Rao, CEO and Co-founder of Nervana, in a recent blog post. “Nervana’s AI expertise combined with Intel’s capabilities and huge market reach will allow us to realize our vision and create something truly special” he adds.
Naveen Rao believes that incorporating the deep learning company’s technology and expertise into Intel’s portfolio will take deep learning to a whole new level. Even though it will no longer remain a startup, Nervana promises to stay true to its initial mission.
Nirvana has always had always had strong investors behind backing their efforts. Steve Jurvetson of Draper Fisher Jurvetson, SV Angel, Playground Global, Lux Capital, Allen & Co, Fuel Capital, Omidyar Technology Ventures, CME Ventures, AME Cloud Ventures, are some of the powerful partners with whom Nervana has built the company.
“At Intel we believe in the power of collaboration: the goodness inherent in exchanging fresh ideas and diverse points of view,” says Diane Bryant, Executive VP and General Manager of the Data Center Group at Intel.
Intel has announced more information about artificial intelligence at the Intel Developer Forum that will take place next week, August 16 to August 18. The recent acquisition will most likely be one of the topics of the discussions.
IMAGE SOURCE: WSJ