Meta acquires chip startup Rivos to boost AI hardware development
Meta Platforms Inc. is acquiring Rivos Inc., a chip startup developing its own graphics processing units (GPUs), as the social media giant races to strengthen its internal semiconductor capabilities and reduce reliance on external suppliers like Nvidia, according to a person familiar with the deal.
Bolstering Meta’s Chip Strategy
Rivos, which had reportedly been seeking funding at a $2 billion valuation as recently as August, specializes in GPUs — the workhorse chips that power most artificial intelligence applications.
Meta already has an in-house semiconductor effort, known as the Meta Training and Inference Accelerator, but still spends billions annually on GPUs from Nvidia and others. The Rivos acquisition signals Meta’s determination to accelerate its chip roadmap, particularly as it chases CEO Mark Zuckerberg’s vision of “superintelligence” — AI models that can perform tasks at or above human capability.
A Meta spokesperson disputed reports that the company’s chip progress was lagging, stating:
“Our custom silicon work is progressing quickly and this will further accelerate our efforts.”
AI as Meta’s Top Priority
Zuckerberg has repeatedly emphasized that AI is Meta’s No. 1 priority, with the company committing up to $72 billion in capital expenditures this year to support infrastructure, data centers, and talent acquisition. Recently, Meta raised $29 billion in financing to fund construction of a massive new data center in Louisiana.
Competitive Pressures and Past Moves
The Rivos deal follows Meta’s earlier attempt to buy FuriosaAI, a Korean chip startup, in an $800 million bid that was turned down in March. The company is now turning to acquisitions like Rivos to bring in expertise and accelerate progress.
Meta’s acquisition strategy underscores the growing urgency among Big Tech firms to control more of their AI infrastructure stack — from chips and data centers to the models themselves — as competition with OpenAI and Google intensifies.
