Nvidia Corp., the chipmaker at the heart of the artificial intelligence spending boom, announced investments in Arm Holdings Plc, SoundHound AI Inc. and biotechnology company Recursion Pharmaceuticals Inc.
Nvidia included the information in a Form 13F filed with the U.S. Securities and Exchange Commission on Wednesday, providing insight into the company’s closely watched investment strategy. It has a history with Arm, which Nvidia tried to acquire for $40 billion in 2020. That deal ultimately fell apart under regulatory pressure, and Nvidia gone in February 2022.
Meanwhile, the investment in SoundHound was perceived by the company’s investors as an optimistic signal. The company’s shares rose 55% in late trading on Wednesday after the shareholding was disclosed. SoundHound makes artificial intelligence software for sound recognition. Nvidia was quoted as an investor in SoundHound in 2017.
Arm’s share was the largest in dollar terms and amounted to $147.3 million. Recursion’s holding was valued at $76 million, and SoundHound’s share was valued at $3.67 million. Nvidia also disclosed information about small assets in medical imaging developer Nano-X Imaging Ltd. and self-driving car company TuSimple Holdings Inc.
After Nvidia’s failed takeover, Arm became the largest initial public offering of 2023. The company remains majority owned by SoftBank Group Corp., which acquired the chip designer in 2016 for $32 billion. SoftBank benefited after Arm shares surged this year. The shares rose by more than two-thirds, increasing their market valuation to nearly $130 billion.