NVIDIA has announced the acquisition of Israeli startup Run:ai - will pay approximately $600 million

In a strategic move to bolster its artificial intelligence (AI) capabilities, technology giant NVIDIA has announced the acquisition of Israeli startup Run:ai. While the exact amount of the transaction remains undisclosed, sources familiar with the matter suggest that NVIDIA will pay approximately $600 million for the acquisition, with additional retention grants of up to $100 million earmarked for managers and employees of the startup who continue their employment at NVIDIA.

This marks NVIDIA's third acquisition in Israel, following its acquisition of Mellanox in 2019 for $6.9 billion and Accelero in 2022 for around $35 million. With approximately 4,000 employees already in Israel, NVIDIA's expansion in the region underscores its commitment to tapping into Israel's vibrant tech ecosystem.

Founded in 2018 by Omri Geller and Dr. Ronan Der, Run:ai specializes in resource management software designed to optimize and accelerate AI applications running on AI processors, particularly those provided by NVIDIA. By acting as a resource management layer, Run:ai's software enables companies to optimize their AI computing infrastructures, thereby reducing cloud costs and maximizing hardware utilization.

The acquisition aligns with NVIDIA's goal of enabling its customers to efficiently leverage their AI computing infrastructures. Alexis Bjorlin, Vice President of DGX Cloud at NVIDIA, emphasized that the acquisition will allow NVIDIA to continue offering Run:ai's products to customers, particularly for the development and deployment of large language models.

Omri Geller, CEO of Run:ai, expressed enthusiasm about joining forces with NVIDIA, citing a shared vision to empower customers in maximizing infrastructure efficiency. Geller affirmed that Run:ai's collaboration with NVIDIA since 2020 has laid the groundwork for a seamless integration, and he looks forward to the journey ahead with NVIDIA.

As NVIDIA continues to strengthen its AI capabilities through strategic acquisitions, the acquisition of Run:ai underscores its commitment to driving innovation and efficiency in AI computing.