NVIDIA’s $5 Billion Investment in Intel to Power New AI Infrastructures
|
|
Key points
- Nvidia invested $5 billion in Intel at a purchase price of $23.28 per share.
- Jensen Huang, founder of Nvidia, markets the partnership as a “fusion of world-class platforms.”
- The collaboration involves Nvidia’s NVLink connecting Nvidia and Intel’s architectures.
Nvidia invested $5 billion into Intel stock at a purchase price of $23.28, marketing the buy-in collaboration as a “fusion of world-class platforms.” The partnership will have Nvidia’s NVLink connecting both Nvidia and Intel’s architectures, coupling Nvidia’s AI and accelerated computing stack with Intel’s CPUs and the vast x86 ecosystem. NVLink is a wire-based communication link that facilitates data transfers between GPUs, an essential factor when dealing with AI workloads.
For data centers, Intel will integrate and build Nvidia-custom x86 CPUs; for personal computing, Intel will once again build and sell x86 system-on-chips (SOCs) while integrating Nvidia RTX GPU chiplets.
“This historic collaboration tightly couples NVIDIA’s AI and accelerated computing stack with Intel’s CPUs and the vast x86 ecosystem — a fusion of two world-class platforms. Together, we will expand our ecosystems and lay the foundation for the next era of computing,” said Jensen Huang.
Intel CEO Lip-Bu Tan shared a similar statement in the official press release, stating that the partnership will accelerate computing leadership to “enable new breakthroughs for the industry.”
The NY Times claims this partnership is Nvidia throwing Intel a lifeline; the Trump administration previously agreed to a roughly 10 percent stake in Intel to aid the company’s financial circumstances.
