Nvidia and Groq Announce Non-Exclusive Licensing Agreement for AI Inference Technology

On December 24, 2025, Nvidia and Groq announced a non-exclusive licensing agreement for Groq's inference technology, valued at approximately $20 billion. The agreement allows Nvidia access to Groq's high-speed AI inference technology and includes the integration of Groq's Language Processing Units (LPUs) into Nvidia's AI ecosystem to support real-time AI workloads.

Groq's LPUs are designed for inference tasks and can achieve up to 300 tokens per second for models such as Llama 3 70B, with lower latency than Nvidia's GPUs.

As part of the deal, Groq founder Jonathan Ross, president Sunny Madra, and other team members will join Nvidia to advance and scale the licensed technology.Jonathan Ross previously led the TPU design effort at Google.

Groq will remain an independent company, with Simon Edwards assuming the role of Chief Executive Officer. GroqCloud will continue op...