Nvidia is acquiring Poolside's "Model Factory" and 109 employees for $6 billion

Insight summary

• •Nvidia is acquiring software from the startup Poolside for $6 billion, including licensing the 'Model Factory' system.
• •The deal involves bringing 109 Poolside employees who worked on the Laguna model to Nvidia.
• •Nvidia is investing $1 billion in Poolside at a $12 billion pre-money valuation.
• •The three founders of Poolside will remain with the company.
• •The acquisition is structured to avoid regulatory reviews by not being a full acquisition or acquihire.
• •Nvidia has made similar deals recently with Groq and Enfabrica worth $20 billion and $900 million, respectively.
• •Poolside plans to distribute the $6 billion proceeds to its investors by the end of next year.