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Nvidia Invests $3.5B in MediaTek as Firms Expand AI Partnership

Ankara: Nvidia has invested $3.5 billion in convertible bonds issued by Taiwanese chipmaker MediaTek as the companies expand their partnership across artificial intelligence infrastructure, personal computing, and automotive technologies. The firms announced that MediaTek will adopt Nvidia's NVLink Fusion platform, allowing customers to develop custom AI chips integrated into Nvidia-connected, rack-scale data center systems.

According to Anadolu Agency, the collaboration targets hyperscalers, cloud service providers, and developers of advanced AI models seeking specialized processors, known as XPUs, tailored to their workloads. MediaTek customers will have the ability to customize connectivity, memory, packaging, performance, and power features while relying on Nvidia and MediaTek for supporting technologies, manufacturing, and integration into production-ready systems.

The expanded partnership combines Nvidia's expertise in accelerated computing, AI software, and graphics with MediaTek's capabilities in custom silicon, energy-efficient system-on-chip design, advanced packaging, and connectivity. Nvidia CEO Jensen Huang stated that AI is transforming every computing platform, from the largest AI factories to PCs and cars. MediaTek CEO Rick Tsai emphasized that Nvidia's investment would strengthen cooperation spanning cloud AI infrastructure, local computing, and vehicles.

The companies plan to continue developing multiple generations of chips for Nvidia's RTX Spark and DGX Spark platforms, targeting consumer computers, AI developers, and enterprise workstations. MediaTek has previously collaborated with Nvidia on the GB10 Grace Blackwell Superchip used in DGX Spark, combining an Nvidia Blackwell graphics processor with a Grace central processing unit.

In the automotive sector, the firms plan to further develop platforms for AI-powered, software-defined vehicles. MediaTek's Dimensity Auto systems incorporate Nvidia technologies for intelligent vehicle cockpits and can operate alongside the Nvidia DRIVE AGX platform. The companies stated that the collaboration would support future generations of increasingly intelligent vehicles while expanding AI computing from large-scale data centers to computers and cars.