SoftBank is buying ex-Intel president Renee James' chip design company for $6.5 billion

SoftBank is acquiring Ampere Computing, a chip design business founded by former Intel president Renee James, for $6.5 billion in cash. Ampere initially focused on cloud-native computing but has since shifted its focus to sustainable AI compute. The acquisition is expected to enhance SoftBank's research and development capabilities, particularly through its subsidiary Arm, which is working on an in-house chip. SoftBank is betting on Ampere to bolster its AI infrastructure investments, including ventures like Cristal Intelligence and Stargate. Ampere will operate as a wholly owned subsidiary after the deal closes, which is expected to happen later this year pending regulatory approval. Renee James, Ampere's CEO, expressed excitement about partnering with SoftBank's portfolio of leading technology companies to advance AI. The acquisition is seen as a strategic move to give SoftBank an edge in the AI chip manufacturing industry. Ampere's roadmap for high-performance Arm processors and AI, known as AmpereOne, will continue to drive forward. SoftBank's investment in Ampere is part of its broader growth initiatives in key areas. The deal is expected to accelerate SoftBank's growth in the AI infrastructure space.