Nvidia has announced it will invest $5 billion in Intel, buying common stock at $23.28 a share. The deal, which is subject to regulatory approvals, will give Nvidia a stake of over 4% in the US chipmaker. Notably, this is one of the largest outside investments Intel has received in recent years, and it positions Nvidia as a key shareholder in the company. Importantly, the agreement is more than a financial move. Both companies are presenting it as the start of a long-term collaboration designed to combine their strengths in AI and computing.
Under this newly announced collaboration, Nvidia will contribute its expertise in GPUs and artificial intelligence (AI) systems, while Intel will add its long-standing strength in CPUs and the x86 platform that powers most computers today. And by bringing these capabilities together, the two companies plan to design custom chips that can serve the massive computing needs of data centers as well as the everyday demands of personal computers.
The partnership will focus on integrating Intel’s CPUs with Nvidia’s GPU and advanced interconnect technologies. A key part of this plan is Nvidia’s NVLink, which allows CPUs and GPUs to share data much faster. This kind of integration is especially important for AI workloads that need large numbers of processors to work together at the same time.
“For personal computing, Intel will build and offer to the market x86 system-on-chips (SOCs) that integrate NVIDIA RTX GPU chiplets. These new x86 RTX SOCs will power a wide range of PCs that demand integration of world-class CPUs and GPUs,” the Jensen Huang-led company noted.
While the collaboration is expected to cover multiple generations of products, the companies have not revealed when the first chips will be available or how responsibilities will be divided. They also clarified that Nvidia is not using Intel’s foundry business to manufacture its chips, keeping the focus strictly on joint design rather than production outsourcing.
For Intel, the partnership is especially significant as the company is facing major challenges, including financial losses, project delays, and strong competition from rivals like TSMC, AMD, and even Nvidia itself. In its second-quarter (Q2) 2025 earnings report, Intel posted a $2.9 billion loss. In July 2025, the firm announced plans to lay off about 15% of its global workforce (around 15,000 employees) and cancel several large chip factory projects to cut costs. Even the Ohio facility, considered a key part of its expansion plans, has been delayed and is now expected to begin operations around 2030–2031. The development also comes just months after the President Donald Trump-led United States government acquired a 10% stake in the struggling chipmaker Intel. The stake is being secured through an $8.9 billion investment, which primarily comes from funds already allocated to Intel through the CHIPS Act and secure chip programs.
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