Intel Corp. is in acquisition talks with SambaNova Systems, an artificial intelligence (AI) processor manufacturer, according to Bloomberg News.

The potential deal would likely value SambaNova below the $5 billion it commanded in a 2021 funding round. Discussions remain in preliminary stages.

The acquisition would bolster Intel’s AI ambitions following setbacks in the AI graphics processing unit market, where its chips have failed to gain significant traction marketed as cost-effective alternatives to NVIDIA Corp.’s processors.

Intel is targeting reentry into the AI GPU market next year with a new processor.

SambaNova and Intel share multiple connections. Walden International, an investment firm led by Intel CEO Lip-Bu Tan, was among SambaNova’s early backers. Intel Capital, the chipmaker’s investment arm, also holds a stake in the company, as does SoftBank’s Vision Fund. SoftBank is a major Intel investor.

Last year, SambaNova named Tan as executive chairman.

Since April, Intel has secured billions in investments from NVIDIA, SoftBank, and an unprecedented U.S. government stake, strengthening its financial position.

However, a SambaNova acquisition would represent a reversal from April, when Intel Chief Financial Officer David Zinsner said the company would limit near-term acquisitions.

Intel and SambaNova were not immediately available for comment.