Two former Groq engineers, Joshua Rubin and Benjamin Serebrin, filed suit on October 2 in the Delaware Court of Chancery over Nvidia's roughly $20 billion deal with the chip startup, CNBC reported on October 5. Both left Groq before the deal was announced but still held stock.
The complaint argues the board approved the transaction without a stockholder vote and without running a process to test or maximize the company's value. Groq has called the suit meritless and says the agreement delivered strong value.
The deal was announced in December 2025 as a non-exclusive licensing agreement for Groq's inference technology. Founder and CEO Jonathan Ross and president Sunny Madra joined Nvidia, while Groq says it continues as an independent company. CNBC found no reporting on a court ruling so far.
Source: CNBC