Qualcomm is approaching a deal to acquire Modular, an AI chip startup, at a valuation near $4 billion. The transaction represents a significant move by the chipmaker to expand its footprint in the competitive AI accelerator market.

The acquisition targets Modular's AI accelerator technology to bolster Qualcomm's capabilities in a sector increasingly central to data center infrastructure and GPU cloud platforms. For the broader AI buildout, the deal signals continued consolidation among semiconductor players seeking to establish stronger positions against entrenched competitors, as demand for specialized AI compute accelerators grows across cloud providers and enterprise deployment.