Nvidia in talks to buy or invest more in Reflection AI

Nvidia is in early talks to acquire or invest further in Reflection AI, according to reports from the Financial Times. The chipmaker and startup could reach an agreement within weeks, though the discussions might also fail. People with direct knowledge of the matter told reporters that the two sides have not yet agreed on terms.

The deal could take several forms rather than a single purchase method for the company. One option is an acqui-hire where Nvidia hires the staff and licenses technology instead of buying the company outright. This structure could avoid a lengthy regulatory review process compared to other deal types.

Nvidia already holds a significant stake in the startup through previous funding rounds. The chipmaker led a $2 billion round in October 2025 and has invested $800 million in total so far. Reflection AI was founded by former Google DeepMind researchers Misha Laskin and Ioannis Antonoglou in 2024.

The company released its first model called Beam on October 5 with an open-weight structure. This system focuses on coding agents and runs on Nvidia hardware with 501 billion parameters. It aims to compete against lower-cost Chinese models such as DeepSeek.

Reflection has secured significant compute arrangements to support the development of its systems. SpaceX agreed to supply AI capacity up to a value of $6.3 billion through 2029 under a June agreement. Nebius Group N.V. also committed in July to sell another $1 billion in AI capacity.

The Trump administration hopes the project will rival cheap open models from China, according to the report. Officials see value in supporting domestic technology that can compete globally. This geopolitical context adds weight to the potential deal discussions.

Nvidia has recently pursued other major deals in the artificial intelligence sector recently. The company agreed Sept. 3 to pay $12.9 billion for Hugging Face and licensed technology from chip startup Groq. Reports indicate Nvidia paid up to $20 billion for the Groq arrangement involving senior executive moves.

Neither Nvidia nor Reflection has commented publicly on the current talks yet. An Nvidia spokesman previously stated regarding a similar deal that the American system was working as designed. The Financial Times noted the reports have not been independently verified by the outlet.