Ampere Computing LLC, the semiconductor startup backed by Larry Ellison’s Oracle Corp., is exploring a potential sale, according to people with knowledge of the matter.

Ampere Computing, a datacenter CPU designer backed by Oracle, is considering a sale as it faces increasing competition and uncertain prospects for an initial public offering (IPO). The company is weighing its strategic options and working with a financial adviser to explore a potential buyout,

The chip also has other selling points. Ampere has added 128 PCIe lanes that can link up to 32 graphics cards, flash storage systems and other devices to the AmpereOne. A built-in encryption feature shields the memory of the server in which the processor is installed from hacking attempts.

Ampere Computing, which designs server chips for some of the biggest names in the cloud market, is reportedly exploring a potential sale. The California company, which is backed by Oracle and counts Google Cloud and Microsoft among its customers, is said to be open to bids from larger chip firms, Bloomberg reported today.

Valued at $8bn in a 2021 SoftBank proposal, Ampere is open to talks with larger industry players about a potential transaction.