AMD to merge with Nvidia in 2021

The technology giant is expected to announce plans to merge its core business with Nvidia next year, according to a report.

The Wall Street Journal reported Wednesday that AMD plans to buy Nvidia in a deal valued at about $1.7 billion, according a person familiar with the matter.

The person spoke on condition of anonymity because the person wasn’t authorized to discuss the matter publicly.

Nvidia shares are down nearly 5 percent this week after the announcement.

NAND flash memory chips are Nvidia’s most popular product, and the chipmaker has recently been battling Apple, Samsung, and Intel for dominance in the high-performance computing market.

Nanodegree, Nvidia’s chips and chipsets, are used in smartphones, computers, and other devices.

The company’s chipsets have been gaining popularity in the mobile industry.

Nanos research has shown that smartphones will have an increasing share of the world’s mobile device market by 2021, and that demand for chips is increasing at a faster rate than the growth of the overall smartphone market.

NPD reported in March that smartphone shipments reached $1 trillion last year.