Japan-based SoftBank has announced the acquisition of Graphcore , a UK-based artificial intelligence (AI) chipmaker, with the deal receiving full regulatory approval. With the terms of the acquisition not being disclosed, Graphcore was bought by SoftBank and became a wholly-owned subsidiary of the latter, despite continuing to operate under its own name.

The announcement follows a period in which Graphcore found securing the investments required to compete in the market difficult. The firm terminated operations in several countries, including Norway, Japan, and South Korea, and dismissed a fifth of its workforce, currently having around 494 employees. How will the acquisition support Graphcore? As part of the acquisition, Graphcore is set to receive the resources required to compete globally, thus working towards mitigating the previously present difficulties.

According to Graphcore’s officials, the announcement supports the company’s ability to develop optimised AI technologies, whilst improving the firm’s position in the industry. Considering the increased demand for AI computing and its predisposition to further expand, Graphcore plans to become more efficient and resilient and enhance the capabilities of AI. By being acquired by SoftBank, the company is set to work towards optimising the landscape for AI technology. Moreover, as society is currently adopting the features provided by foundation models, generative AI applications, and additional approaches to scientific discovery, semiconductors and computing systems represent an essential part of the AGI journey.

Representatives from SoftBank underscored that the collaboration with Graphcore aims to support the latter’s commitment, with it intending to continue to invest in the development of jobs spanning several disciplines. SoftBank’s contribution to the advancement of AI In recent months, SoftBank made several announcements that focus on developing the capabilities of AI, with the company partnering with Perplexity, a generative AI search startup. As part of their collaboration, SoftBank was set to deliver its mobile service customers leveraging ‘SoftBank,’ ‘Y!mobile,’ and ‘LINEMO’ brands a one-year free trial of 'Perplexity Pro,' a paid subscription service.

The free trial was exclusively available to users of SoftBank’s three brands among Japan’s mobile operators. Shortly before, SoftBank revealed its plans to invest nearly USD 9 billion annually in AI, while also reserving resources for potential larger deals. At that time, the company emphasised the importance of AI in improving its overall capabilities and assisting its primary asset, which is UK-based chip designer Arm. In addition, the firm intended to maintain, or possibly exceed, the level of investment for suitable large-scale deals.

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