Chip designer Qualcomm is exploring an acquisition of AI chip firm Tenstorrent.

As reported by The Information and citing a source with direct knowledge of the deal, the two companies are in discussions regarding an acquisition.

According to the report, the deal could see Tenstorrent valued between $8 and $10 billion, though the talks remain ongoing and the price. The deal could be a combination of cash and stock.

Tenstorrent declined to comment to The Information, while Qualcomm said that it doesn't "comment on rumors."

Tenstorrent was founded in 2016 and builds scalable artificial intelligence accelerators for both the cloud and Edge.

The company completed a Series D funding round in December 2024, which saw the company valued at more than $2.6 billion and raised $693 million from investors including Jeff Bezos' Bezos Expeditions, Samsung Securities, and AFW Partner. It was later in talks to raise $800m at a $3.2bn valuation in 2025.

In July 2025, Tenstorrent acquired Blue Cheetah Analog Design, having previously licensed Blue Cheetah’s die-to-die interconnect IP for its AI and RISC-V chiplet solutions, and later was working with AI infrastructure software provider Moreh on a data center offering.

Qualcomm has previously acquired Alphawave Semi in what it said was an effort to push into the data center space, and later that year acquired open-source hardware and software company Arduino to help improve access to the company’s Edge technologies and products, building on its other recent acquisitions of Edge Impulse and Foundries.io.

The company previously withdrew from the data center market back in 2018 to focus on its smartphone efforts, but teased a return in August 2025, with CEO Cristiano Amon saying the market “represents a new growth opportunity for Qualcomm and is a logical extension of our diversification strategy,” during its Q3 2025 earnings call.

Earlier this year, Qualcomm revealed it was working with an unnamed hyperscaler on developing custom silicon.