Chip and server firm SambaNova is looking to raise up to $500 million in a fundraising round after talks with Intel regarding a potential acquisition have stalled.

Per a report from Bloomberg, as recently as last month, the two companies were in advanced discussions regarding a possible $1.6 billion acquisition by Intel, which included debt.

However, those talks have reportedly now stalled, and the AI solutions provider is instead seeking investment from tech companies and semiconductor makers. Intel’s CEO, Lip-Bu Tan is chairman of the Palo Alto, California-based SambaNova.

Reports that SambaNova was exploring a sale first emerged in October 2025, with The Information claiming the company had hired an investment firm to oversee a potential acquisition.

The company was valued at $5 billion in 2021 and, since its inception, has raised more than $1.1bn in funding from investors, including GV, Intel Capital, BlackRock, and SoftBank Vision Fund. Despite this, a report from Caplight said that BlackRock had cut the value of its SambaNova shares by 17 percent, valuing the company at $2.4bn.

Intel and SambaNova declined to comment to Bloomberg.

Founded in 2017, SambaNova previously focused on training workloads, but pivoted in 2025 to become an AI cloud services provider. Its Suite product is touted as an on-prem or cloud-based offering that allows companies to train their own generative AI models based on popular foundation models.

The company first unveiled its SambaNova Cloud in September 2024. It provides cloud-based AI inference services using the company’s SN40L AI chip, launched in September 2023 and capable of running models with up to five trillion parameters.