Meta is gearing up to acquire the AI chip startup Rivos, a strategic move aimed at bolstering its semiconductor research and development (R&D) prowess. The focus will be on chip design centered around the RISC-V architecture. In the tech world, having in-house semiconductor R&D capabilities is a game-changer. Meta's decision to acquire Rivos is driven by several key objectives. Firstly, it seeks to broaden the scope of its MTIA series of custom chip product lines. These custom chips are tailored to meet Meta's specific needs in the rapidly evolving tech landscape. Secondly, by developing its own chips, Meta aims to cut down on its dependence on external suppliers, with NVIDIA being a prominent example. Relying heavily on external sources for crucial components like chips can pose risks, such as supply chain disruptions or being at the mercy of the supplier's pricing and availability strategies. Thirdly, this acquisition is a step towards enhancing Meta's competitiveness in the fiercely contested AI and machine learning domains. As these fields continue to grow at an exponential rate, having cutting-edge, customized chips can give Meta a significant edge over its rivals. At present, Rivos boasts a valuation of approximately $2 billion. This acquisition by Meta underscores the immense significance that tech behemoths attach to independent chip R&D. It's a clear signal that the race to develop proprietary semiconductor technologies is heating up, and we can expect to see even more intense competition in the industry as a result.