Nvidia Corp. has agreed to acquire Israeli startup Run:ai, which develops software for handling artificial intelligence computing resources.

Run:ai has been a close collaborator with Nvidia since 2020, the Santa Clara, California-based chipmaker said in a statement on Wednesday. It didn’t disclose the terms of the deal but Israeli newspaper Calcalist pegged the value of the transaction at US$700 million.

Nvidia employs more than 20,000 workers worldwide and about 3,200 workers in Israel, according to Calcalist. Israel is Nvidia’s second-most important market, according to the paper, and it has done several other deals in the country. 

Run:ai was founded in 2018 by Omri Geller and Ronen Dar. Nvidia’s last major deal in Israel was the $7 billion acquisition of Mellanox Technologies Ltd. in 2020.