Microchip Technology Incorporated said on July 24 that it has signed a definitive agreement to acquire Hailo, the Tel Aviv-based edge AI chipmaker whose accelerators and vision system-on-chip processors power robotics, drones, smart cameras and industrial automation. The transaction is expected to close by the end of Microchip's current quarter ending September 30, subject to regulatory approvals, with financial terms undisclosed and no material impact expected on Microchip's results.
What Microchip gets
The deal folds Hailo's Hailo-8, Hailo-10H and Hailo-15 product families into Chandler, Arizona-based Microchip's embedded portfolio alongside its microcontrollers, FPGAs, analog, connectivity and security silicon. Hailo brings more than 100 customers, an installed developer community of over 10,000 users and technology that spans classic computer vision, transformer and LLM/VLM workloads, image signal processing, DSP and H.264/H.265 encoding — with the flagship Hailo-10H able to run generative AI models at roughly 2.5W of typical power and sub-1-second first-token latency.
Why edge AI, and why now
"The acquisition of Hailo accelerates Microchip's expansion into high-performance edge AI processing," said Mark Reiten, Microchip Senior Corporate Vice President, calling out robotics, drones, smart cameras, industrial automation and embedded AI systems as targets. The transaction builds on Microchip's 2024 pickup of Neuronix AI Labs, adding dedicated inference silicon to what had been an FPGA and SoC-based AI strategy — a similar edge-AI thesis to the one Qualcomm laid out with the Dragonwing Q-7790 and Q-8750 earlier this year and one that AMD is chasing with the Ryzen AI Embedded X100 and Kria AI SoM.
Hailo's view
"Joining Microchip would give Hailo the opportunity to scale our accelerated edge AI technology through a global embedded systems leader," said Hailo CEO Orr Danon. Hailo raised more than $340M in venture funding across seven rounds and became Israel's newest chip unicorn in 2021. Under Microchip, its Raspberry Pi ecosystem, Developer Zone and community forum are expected to keep feeding the customer pipeline for both companies.
Reporting based on coverage from GlobeNewswire and Microchip Technology's July 24, 2026 announcement.