Synopsis
FuriosaAI, a South Korean AI chip startup, has rejected an $800 million acquisition proposal from Meta Platforms, choosing to maintain its independence and focus on developing AI chips. CEO Baek Joon-ho informed employees of this decision, emphasizing the company's commitment to innovation in AI technology.Key Takeaways
- FuriosaAI declined Meta's $800 million offer.
- CEO Baek Joon-ho announced the decision to employees.
- The startup focuses on independent AI chip development.
- FuriosaAI's RNGD processor is designed for data centers.
- Meta aimed to reduce reliance on Nvidia through acquisition.
Seoul, March 24 (NationPress) FuriosaAI, a South Korean artificial intelligence (AI) chip startup, has rejected an $800 million acquisition proposal from the US technology leader Meta Platforms, as reported by industry sources on Monday.
According to sources, Baek Joon-ho, the CEO of FuriosaAI, communicated to employees that the firm will not advance with negotiations regarding the takeover with Meta, and he has also conveyed this decision to the US company.
This decision aligns with FuriosaAI's commitment to pursue its independent growth and production of AI chips, the sources stated, as noted by the Yonhap news agency.
Established in 2017, FuriosaAI operates as a fabless semiconductor enterprise focusing on AI inference chips targeted for data centers.
The company’s premier product, the RNGD processor, unveiled last year, is a novel AI inference chip crafted for high-performance data centers, proficient in managing extensive language models (LLMs).
In February, reports emerged indicating that Meta was engaged in discussions to acquire FuriosaAI, aiming to bolster its in-house AI chip capabilities and diminish its dependency on Nvidia Corp..
FuriosaAI acknowledged it was in dialogue with the US tech giant regarding a potential acquisition, keeping all options available.
Recently, the company garnered attention following a US report suggesting that Meta is contemplating acquiring the AI chip startup, with negotiations potentially wrapping up as soon as this month.
“Ideally, we would prefer to secure investment without the necessity of selling (the company), but regrettably, we have not succeeded in obtaining the desired funding locally,” stated Jeong Young-beom, managing director at FuriosaAI.
“Nothing is finalized yet. We are maintaining all options and will choose the best path forward,” he further remarked.
Per the company's statement, their goal is to create AI chips capable of efficiently executing the world's most advanced models.
“We believe this is a vital lever in ensuring AI computing evolves sustainably for the forthcoming generation,” they concluded.
