South Korean artificial intelligence chipmakers Rebellions Corp. and Sapeon Korea Corp. have announced a definitive agreement to merge, according to Reuters. The two private companies confirmed the agreement on Sunday after merger talks began in June.
The merger of Sapeon and Rebellions represents a strategic move by the Korean company to challenge the dominance of global leaders in AI chips such as Nvidia. Sapeon's shareholders include major companies such as SK Telecom, South Korea's largest telecommunications company, and SK Hynix, the world's second-largest memory chip maker.
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In a related move, Rebellions secured a $15 million investment from Waed Ventures, the venture capital arm of Saudi Aramco, in July. According to Reuters, the funding brings Rebellions' total investment to more than $225 million, further strengthening its competitive position in the AI chip market.
According to PYMNTS, “The rise of AI-specific chips is poised to revolutionize all sectors of commerce. Optimized for machine learning tasks, these specialized processors are expected to dramatically accelerate AI applications in everything from autonomous vehicles to personalized marketing.” As businesses increasingly rely on AI to drive decision-making and improve customer experiences, demand for powerful, efficient AI chips is expected to soar, potentially reshaping supply chains and creating new economic powerhouses.
Source: Reuters
