Nvidia to Invest $3.5 Billion in Chipmaker MediaTek
Nvidia is investing $3.5 billion in convertible bonds issued by Taiwan-based chipmaker MediaTek to deepen their collaboration on artificial intelligence. The deal focuses on developing custom AI chips for cars, PCs, and data centers, while granting MediaTek access to Nvidia's NVLink Fusion technology for its custom AI accelerators. This investment, described by Moomoo as Nvidia's largest-ever overseas direct investment, follows a record $3.9 billion bond offering by MediaTek. Following the announcement on Tuesday, MediaTek shares rose 10%.
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- ✓ Nvidia is investing $3.5 billion in MediaTek convertible bonds.
- ✓ The partnership focuses on custom AI chips for data centers, PCs, and automotive technology.
- ✓ MediaTek shares increased by 10% on Tuesday following the announcement.
- ✓ The investment provides MediaTek access to Nvidia's NVLink Fusion technology.
What changed
Nvidia committed $3.5 billion to MediaTek convertible bonds to accelerate custom silicon development and NVLink Fusion integration.
Live updates
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Nvidia Invests $3.5 Billion in MediaTek to Expand AI Chip Partnership
Nvidia is investing $3.5 billion in convertible bonds issued by Taiwan-based chipmaker MediaTek to deepen their collaboration on artificial intelligence. The deal focuses on developing custom AI chips for cars, PCs, and data centers, while granting MediaTek access to Nvidia's NVLink Fusion technology for its custom AI accelerators. This investment, described by Moomoo as Nvidia's largest-ever overseas direct investment, follows a record $3.9 billion bond offering by MediaTek. Following the announcement on Tuesday, MediaTek shares rose 10%.
Why it matters
The partnership aims to build AI edge to cloud computing platforms and integrate Nvidia's ecosystem with MediaTek's AI accelerator business. By embracing custom silicon, Nvidia seeks to maintain its data center market dominance while expanding beyond GPUs into the XPU ecosystem.
What is confirmed
- Nvidia is investing $3.5 billion in MediaTek convertible bonds.
- The partnership focuses on custom AI chips for data centers, PCs, and automotive technology.
- MediaTek shares increased by 10% on Tuesday following the announcement.
- The investment provides MediaTek access to Nvidia's NVLink Fusion technology.
- MediaTek is based in Taiwan.
Still unconfirmed
- The investment is Nvidia's largest-ever overseas direct investment.
- The $3.5 billion investment is part of a larger $3.9 billion bond offering by MediaTek.
What to watch next
- Details on the specific deployment of NVLink Fusion in MediaTek accelerators
- Updates on the development timeline for the custom AI chips for cars and PCs
confidence 95%Sources used for this update (21)
- Bloomberg.com — Nvidia to Invest $3.5 Billion in Chipmaker MediaTek
- Reuters — Nvidia invests $3.5 billion in MediaTek convertible bonds
- Seeking Alpha — Nvidia, MediaTek deepen AI collaboration with $3.5B investment (NVDA:NASDAQ)
- WSJ — Nvidia Invests $3.5 Billion in MediaTek
- Investing.com Nigeria — Nvidia and MediaTek expand partnership, Nvidia invests $3.5b By Investing.com
- qz.com — Nvidia is investing $3.5 billion in Taiwan's MediaTek to deepen AI chip partnership
- Yahoo Finance — Nvidia investing $3.5 billion in MediaTek for AI chip partnership
- Investing.com — Nvidia invests $3.5 billion in MediaTek convertible bonds By Reuters
- MediaTek — NVIDIA and MediaTek Deepen Long-Standing Partnership to Build AI Edge to Cloud Computing Platforms
- Moomoo — NVIDIA announces its largest-ever overseas direct investment, solidifying its alliance with MediaTek in the emerging XPU ecosystem.
- www.briefs.co — MediaTek Shares Jump After Nvidia Backs $3.5 Billion Convertible Bonds
- www.businesstimes.com.sg — Nvidia to invest US$3.5 billion in chipmaker MediaTek
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