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Intel announced its acquisition of Israeli AI-chipmaker Habana Labs on December 16, 2019, describing the price as approximately $2 billion. Intel’s later SEC filing recorded total consideration of $1.7 billion. Those are different figures from different company disclosures: the announcement’s rounded description and the filing’s accounting figure.

What Intel acquired

Habana Labs developed programmable deep-learning accelerators for data-center AI workloads. Intel said the acquisition would expand its data-center AI accelerator offering, and that Habana would remain based in Israel.

Intel described two product lines with distinct roles:

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Product Role Intel described
Gaudi Processor family for AI training, designed for system scale-up and scale-out.
Goya Commercially available processor for AI inference.

Training is the process of fitting a model to data; inference is using a trained model to produce outputs. Intel presented Habana’s products, development environment and accelerator capabilities as a way to strengthen its data-center AI solutions.

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ASRock Intel Arc Pro B70 Creator 32GB Workstation Graphics Card, Xe2-HPG, 32GB GDDR6, PCIe 5.0, 4X DP 2.1, Blower Fan, Vapor Chamber, Honeywell PTM7950
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  • Professional Intel Arc Pro B70 GPU: Built on the Intel Xe2-HPG architecture, it features 32 Xe cores and 256 XMX engines, designed to accelerate AI, rendering, and complex visualization workloads.
  • Massive 32GB GDDR6 VRAM: Equipped with 32GB of high-speed GDDR6 memory on a 256-bit bus, running at 19 Gbps, which allows for handling large AI models and complex datasets locally.
  • High-Performance Engine Clock: Delivers an engine clock of 2540 MHz, providing the compute power needed for demanding professional applications and AI inference.

Why reports give two different prices

Intel’s December 16, 2019 announcement called the acquisition price approximately $2 billion. Intel’s 2020 Form 10-K, filed with the SEC in 2021, reported $1.7 billion in total consideration for the acquisition. The company’s announcement and filing therefore use different figures and descriptions; the filing does not establish that Intel later revised the announced purchase price.

The filing also reported $1.5 billion of goodwill and $250 million of acquisition-related intangible assets, primarily in-process research and development. These are purchase-accounting allocations, not additional prices to add to the $1.7 billion total consideration.

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  • Optimized for Professional Workloads with 32GB GDDR6: Powered by 32GB of GDDR6 memory on a 192‑bit interface running at 19 Gbps, this card delivers a massive 608 GB/s of memory bandwidth. This is ideal for local AI model inference, LLM deployments, large‑scale rendering, and heavy multitasking without relying on cloud resources.
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  • PCIe 5.0 Support for Maximum Bandwidth: Uses a PCI Express 5.0 x16 interface, providing ample data throughput for high‑speed data transfers, ensuring large models and datasets move efficiently between storage and GPU.

When the deal was announced and closed

Intel announced the acquisition on December 16, 2019. Its SEC filing states that the acquisition closed on December 12, 2019—four days before the public announcement.

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Intel’s stated strategic rationale

Intel framed the purchase as part of a strategy to offer AI solutions for different performance needs, from the intelligent edge to the data center. In the announcement, Navin Shenoy, then Intel executive vice president and general manager of the Data Platforms Group, said: “This acquisition advances our AI strategy, which is to provide customers with solutions to fit every performance need – from the intelligent edge to the data center.” That quotation was Intel’s statement about its own strategy, not an independent assessment of the deal.

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Intel Optane 16GB Internal Flash Accelerator - PCI Express - M.2 2280
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