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MediaTek stock rose 10% Tuesday after the companies announced the deal, which centers on custom AI chips for data centers, PCs, and cars
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MediaTek announced a partnership with Nvidia $NVDA on Monday backed by a $3.5 billion convertible bond investment, news that pushed MediaTek shares 10% higher on Tuesday and capped a gain of close to 200% for the Taiwanese chipmaker over the course of this year.
The deal centers on MediaTek adopting Nvidia's NVLink Fusion platform, which lets hyperscalers and other technology companies build custom AI chips that integrate with Nvidia's data center infrastructure, the companies said. The two firms will also collaborate on chips for PCs and automotive platforms.
