Tuesday, September 16, 2025

Amazon to Acquire AI Chipmaker Perceive for $80 Million

Amazon (Nasdaq: AMZN) has announced plans to acquire Perceive Corp, an AI chipmaker and model specialist, for $80 million in cash. The acquisition, expected to close by the end of 2024, aims to enhance Amazon’s capabilities in large language models (LLMs) and edge computing.

Perceive, a majority-owned subsidiary of Xperi Corporation (NYSE: XPER), was launched in 2018 and is known for developing breakthrough neural network inference solutions. The company’s flagship product, the Ergo AI processor, is designed to run data center-class neural networks in power-constrained environments.

Most of Perceive’s 44 employees, including its team of engineers, are expected to join Amazon. The company will maintain its lab in Idaho, with operations spread across the globe. Perceive is currently led by co-CEOs Murali Dharan and Steve Teig, both of whom have extensive experience in technology development and business operations.

Amazon intends to integrate Perceive into its Devices & Services unit, which includes products like Alexa and Echo smart speakers. The acquisition aligns with Amazon’s ongoing investments in custom silicon and edge computing technologies. It follows the company’s development of in-house processors like Graviton, Inferentia, and Trainium, which are designed for AI workloads and cloud optimization.


Information for this story was found via the sources and companies mentioned. The author has no securities or affiliations related to the organizations discussed. Not a recommendation to buy or sell. Always do additional research and consult a professional before purchasing a security. The author holds no licenses.

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