AI chip startup Groq has partnered with IBM to provide agentic AI capabilities via GroqCloud on IBM watsonx Orchestrate.

Under the terms of the agreement, the partners will also integrate Red Hat’s open source vLLM technology with Groq’s LPU chips, with plans to support IBM Granite models on GroqCloud in the future.

In a statement, the partners said that combining Groq's inference speed, cost efficiency, and open-source model access with IBM's agentic AI orchestration will allow them to deliver the infrastructure needed to help enterprises in both regulated and non-regulated industries, such as healthcare and HR, respectively, to scale.

Groq claims its cloud platform delivers more cost-efficient inference at five times the speed of traditional GPU systems, resulting in consistently low latency and dependable performance.

"Many large enterprise organizations have a range of options with AI inferencing when they're experimenting, but when they want to go into production, they must ensure complex workflows can be deployed successfully to ensure high-quality experiences," said Rob Thomas, SVP, software, and CCO at IBM.

Jonathan Ross, CEO and founder, Groq, added: "With Groq's speed and IBM's enterprise expertise, we're making agentic AI real for business. Together, we're enabling organizations to unlock the full potential of AI-driven responses with the performance needed to scale. Beyond speed and resilience, this partnership is about transforming how enterprises work with AI, moving from experimentation to enterprise-wide adoption with confidence, and opening the door to new patterns where AI can act instantly and learn continuously."

Access to GroqCloud via IBM is available immediately. 

Groq was co-founded in 2016 by Ross, who previously helped lead Google's Tensor Processing Unit development.

The company provides dedicated chips and accelerators within its own servers and racks designed for artificial intelligence, machine learning, and high-performance computing. Last month, the chip startup announced it had been valued at $6.9 billion following the closure of a $750 million funding round.

In March 2024, Groq acquired Definitive Intelligence to expand its cloud business.

Earlier this month, Ross said the company is aiming to establish more than 12 data centers next year, doubling its 2025 numbers. Currently, Groq has a presence in the US, Canada, the Middle East, and Europe, with plans to establish data centers in Asia.