U.S. technology giant Nvidia signed an agreement to acquire Israeli artificial intelligence company Run:ai, the two companies announced on Wednesday.

The parties did not disclose amounts, but several Israeli media estimated the deal at about 700 million U.S. dollars.

Nvidia explained that it signed the agreement to help customers make more efficient use of their AI computing resources.

Founded in 2018 and based in the coastal city of Tel Aviv, Run:ai has built an operating system tailored for the latest AI processors, leveraging advanced virtualization technologies.

Run:ai's customers include giant global companies and startups that use AI in fields such as finance, automotive, and health, alongside leading academic institutions.

According to Ndivia, among its 29,600 workers worldwide, 3,300 are employed in Israel, most of them in the northern city of Yokneam, and Tel Aviv.