Nvidia is in discussions to either increase its investment in open-source startup Reflection AI or acquire the company outright, the Financial Times reported on Saturday, October 10, citing people with direct knowledge of the talks. The report, carried by Reuters, puts the chip giant in line for a deeper tie-up with one of the most closely watched young players in AI-driven software development.
Early talks, several possible structures
The discussions are described as being at an early stage, and a deal could take more than one form. One option under consideration is an "acqui-hire" style arrangement in which Nvidia would hire Reflection's staff and license its technology rather than pursue a full acquisition — a structure that could sidestep a lengthy regulatory review. People familiar with the matter told the newspaper that an agreement could potentially be reached in the coming weeks, but they cautioned that the discussions could still fall apart.
Neither company offered public confirmation. Reflection declined to comment on the FT report, and Nvidia did not immediately respond to a request for comment. Reuters noted that it could not independently verify the report.
A backer turning toward a bigger bet
Nvidia is already a major financial backer and strategic investor in Reflection AI, having invested $800 million in the startup, according to the FT. Founded in 2024 by former DeepMind researchers Misha Laskin and Ioannis Antonoglou, Reflection builds tools that automate software development, a fast-growing use case for artificial intelligence.
Laskin told CNBC in April that the Nvidia-backed startup was raising fresh capital at a pre-money valuation of $25 billion. On Monday, the company launched its first open-weight model, called Beam, as it seeks to compete in coding and agentic tasks with lower-cost Chinese models such as DeepSeek and Kimi.
The reported talks underline how aggressively large technology firms are moving to secure AI talent and capabilities as competition in the coding-automation segment intensifies.
Sources: Reuters: Nvidia in talks to invest further in Reflection AI or buy it, FT reports; CNA: Nvidia in talks to invest further in Reflection AI or buy it, FT reports
Early talks, several possible structures
The discussions are described as being at an early stage, and a deal could take more than one form. One option under consideration is an "acqui-hire" style arrangement in which Nvidia would hire Reflection's staff and license its technology rather than pursue a full acquisition — a structure that could sidestep a lengthy regulatory review. People familiar with the matter told the newspaper that an agreement could potentially be reached in the coming weeks, but they cautioned that the discussions could still fall apart.
Neither company offered public confirmation. Reflection declined to comment on the FT report, and Nvidia did not immediately respond to a request for comment. Reuters noted that it could not independently verify the report.
A backer turning toward a bigger bet
Nvidia is already a major financial backer and strategic investor in Reflection AI, having invested $800 million in the startup, according to the FT. Founded in 2024 by former DeepMind researchers Misha Laskin and Ioannis Antonoglou, Reflection builds tools that automate software development, a fast-growing use case for artificial intelligence.
Laskin told CNBC in April that the Nvidia-backed startup was raising fresh capital at a pre-money valuation of $25 billion. On Monday, the company launched its first open-weight model, called Beam, as it seeks to compete in coding and agentic tasks with lower-cost Chinese models such as DeepSeek and Kimi.
The reported talks underline how aggressively large technology firms are moving to secure AI talent and capabilities as competition in the coding-automation segment intensifies.
Sources: Reuters: Nvidia in talks to invest further in Reflection AI or buy it, FT reports; CNA: Nvidia in talks to invest further in Reflection AI or buy it, FT reports
