Qualcomm in advanced talks to buy AI startup Modular in $4B deal

Qualcomm is in advanced negotiations to acquire Modular Inc, an artificial intelligence infrastructure software and chip startup, in a transaction that would value the company at about $4 billion, according to multiple reports citing Bloomberg and Reuters. The discussions are described as mature and exclusive, with an announcement potentially expected in the coming weeks, although no definitive agreement has been signed and the talks could still change or collapse. Both Qualcomm and Modular have declined to comment publicly on the negotiations, and insiders have requested anonymity given the confidential nature of the process.

The reported $4 billion price tag represents a sharp jump from Modular’s last known valuation of $1.6 billion in a September 2025 funding round, when it raised $250 million and brought total funding to roughly $380 million. Modular, founded in 2022, builds AI infrastructure software and platform technology aimed at optimizing AI workloads, positioning it as a strategic fit for Qualcomm’s push to expand its AI silicon and infrastructure capabilities. Key acquisition terms, including the exact deal structure and mix of cash or stock consideration, have not been disclosed, and there is no detail yet on any potential regulatory review. If completed, the deal would mark one of Qualcomm’s largest recent AI-focused acquisitions and underscore the escalating competition to build end‑to‑end AI platforms spanning chips, software, and developer tools.