Qualcomm, one of the world’s largest suppliers of smartphone chips, is in talks to acquire AI chip startup Tenstorrent for $8 billion to $10 billion, according to a report by The Information.

The talks are ongoing, and the price could change or the discussions could fall apart. It is not clear if the price will include performance-based milestone payments, a structure used in the past to buy chip startups.

Qualcomm has increasingly sought to reduce its dependence on the cyclical handset market by expanding into high-growth segments such as data center processors and autonomous vehicle chips. Tenstorrent, founded in 2016, develops accelerators for training AI models and running AI applications.

Original reporting: Appleton, WI News Feed (HLL/CB) — read the source article.