Nvidia invests $3.5B in MediaTek as companies expand AI partnership

Nvidia (NASDAQ: NVDA) and MediaTek announced an expanded collaboration covering AI infrastructure, local AI computing and automotive platforms, alongside a $3.5 billion investment by Nvidia in convertible bonds issued by MediaTek.

As part of the agreement, MediaTek will adopt Nvidia's NVLink Fusion platform, giving hyperscalers, cloud service providers and frontier model developers a path to develop custom XPUs that connect to Nvidia's rack-scale AI systems.

The collaboration is structured around three areas. In AI infrastructure, MediaTek will work within the NVLink Fusion ecosystem to help customers build custom AI infrastructure compatible with Nvidia rack-scale systems. In local AI computing, the two companies will continue joint development of chips for Nvidia RTX Spark and DGX Spark products, which combine Nvidia GPUs with MediaTek system-on-chip designs for consumer PCs, developer workstations and AI supercomputers. In automotive, the companies will continue developing platforms for AI-powered, software-defined vehicles.

MediaTek previously collaborated with Nvidia on the GB10 Grace Blackwell Superchip used in the Nvidia DGX Spark. The partnership has since extended to Nvidia RTX Spark for consumer PCs.

"MediaTek is one of the world's great semiconductor companies, with exceptional expertise in system-on-chip design, connectivity, leading performance and power efficiency," said Jensen Huang, founder and CEO of Nvidia.

"NVIDIA's investment strengthens a collaboration that spans cloud AI infrastructure, local AI computing and automotive in the era of physical AI," said Rick Tsai, vice chairman and CEO of MediaTek.

The NVLink Fusion platform provides a prebuilt foundation for multi-die XPU development, incorporating Nvidia NVLink chiplets, NVLink-C2C connectivity and NVHBM memory integration. MediaTek's automotive Dimensity Auto platforms integrate Nvidia technologies for vehicle cockpit systems and are designed to work alongside Nvidia DRIVE AGX.

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