Nvidia will invest $3.5 billion in MediaTek through bonds convertible into shares, the companies said Monday, expanding their collaboration as the Taiwanese chipmaker works to win more data-center business.
The investment is Nvidia’s largest direct investment outside the US, according to the companies’ joint statement. MediaTek will use Nvidia’s NVLink Fusion and NVHBM technologies to help connect components in data-center systems.
The companies will also work on platforms for integrating artificial intelligence into personal computers and automobiles. MediaTek’s XPU chips are intended to support custom AI systems built for hyperscalers and other customers.
“We’ve already had a big partnership with MediaTek. Today, we are going to make it a lot bigger,” Nvidia CEO Jensen Huang said in an interview with Bloomberg Television. He described the roadmap as a decade-long engineering alignment.
MediaTek is seeking to reduce its reliance on smartphones and has gained credibility as a design partner for major technology companies building their own AI chips. The company earlier this year secured a partnership with Google, while Nvidia has also expanded ties with Amazon around data-center components.
