Qualcomm Nears $4B Modular Acquisition, Eyes $8–10B Tenstorrent Deal
QCOM•Qualcomm is nearing a deal to acquire AI chip startup Modular for about $4 billion, marking a valuation increase from $1.6 billion nine months ago. This would expand Qualcomm’s data center and AI infrastructure presence and, combined with its 8–10 billion offer for Tenstorrent, could total $14 billion in acquisitions.
1. Acquisition Talks for Modular
Qualcomm is in advanced negotiations to acquire AI chip startup Modular at an approximate valuation of $4 billion, up from the $1.6 billion valuation nine months ago. Discussions remain unfinished and could still be modified or abandoned.
2. Modular’s Funding and Technology
Founded in 2022, Modular has raised a total of $380 million, including a $250 million round in September 2025. Its processors target data center and AI infrastructure applications, aligning with Qualcomm’s diversification beyond smartphone chips.
3. Combined AI Chip Strategy
Qualcomm is also pursuing Tenstorrent for between $8 billion and $10 billion. If both transactions close, Qualcomm would invest up to $14 billion in AI startups, prompting a 5.16% premarket share decline as investors weigh the strategic shift.
