Nvidia wraps up Mellanox deal

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Nvidia has announced that it has successfully completed its acquisition of the data center chip maker Mellanox Technologies for $7bn.

The acquisition, which was first announced in March of last year, brings together two of the world's leading companies in high performance and data center computing.

By combining Nvidia's computing expertise with Mellanox's high-performance networking technology, the deal will enable customers to achieve higher performance, greater utilization of computing resources and lower operating costs.

Mellanox acquisition

In a press release announcing the completion of the deal, founder and CEO of Nvidia, Jensen Huang explained how the acquisition will boost the company's existing offerings, saying:

“The expanding use of AI and data science is reshaping computing and data center architectures. With Mellanox, the new NVIDIA has end-to-end technologies from AI computing to networking, full-stack offerings from processors to software, and significant scale to advance next-generation data centers. Our combined expertise, supported by a rich ecosystem of partners, will meet the challenge of surging global demand for consumer internet services, and the application of AI and accelerated data science from cloud to edge to robotics.”

The acquisition is expected to be added to Nvidia's non-GAAP gross margin, non-GAAP EPS and free cash flow.

Nvidia has certainly moved beyond being just a graphics card maker and by acquiring Mellanox, the company now has a foot firmly planted in the growing data center industry.

Anthony Spadafora

After working with the TechRadar Pro team for the last several years, Anthony is now the security and networking editor at Tom’s Guide where he covers everything from data breaches and ransomware gangs to the best way to cover your whole home or business with Wi-Fi. When not writing, you can find him tinkering with PCs and game consoles, managing cables and upgrading his smart home.