Nvidia and MediaTek today announced Nvidia has invested $3.5 billion in convertible bonds issued by MediaTek.
It’s part of a deepening of their longstanding collaboration to build the next generations of AI computing platforms — spanning AI infrastructure, local AI computing and automotive.
As part of the expanded collaboration, MediaTek will adopt the Nvidia NVLink Fusion platform to provide hyperscalers, cloud service providers and frontier model developers with a prevalidated path to develop custom XPUs and bring them into Nvidia NVLink-connected, rack-scale AI factories.
The companies combine Nvidia’s accelerated computing, AI, graphics and software platforms with MediaTek’s leadership in custom silicon, high-performance computing, power-efficient system-on-chip (SoC) design, advanced packaging, interconnects and connectivity.
“As for the Nvidia-MediaTek deal. The most significant is NVLink and that they’re continuing with them on the CPU side,” said Patrick Moorhead, CEO and chief analyst at Moor Insights & Strategy, in a message to me. “Now MediaTek can offer all its XPU customers NVLink derivatives if they wish. This gives Nvidia some revenue for every one of those XPUs and helps to establish NVLink more of a standard for scale-up.”
And Ryan Shrout, analyst at Shrout Research, said in a message to me, “MediaTek adopting NVLink Fusion as the design foundation it offers to custom XPU customers could put Nvidia scale-up fabric, C2C interconnect, and NVHBM memory inside accelerators that were built as alternatives to Nvidia GPUs, which means Nvidia collects rack-scale adoption even on the designs where it may lose the compute socket. Over time that is worth more than the $3.5 billion for sure.”
Shrout added, “MediaTek is the right partner for that since it is no longer just a marginal ASIC player. It is a Google TPU design partner, its first hyperscaler accelerator goes into mass production this quarter, and in late July it raised the 2027 target to 15 to 20% of a custom AI chip market it sized around $80 billion. The customers buying MediaTek design services are the same hyperscalers working to reduce GPU dependence, and NVLink Fusion now sits in the middle. This also fits a consistent pattern. NVIDIA invested $2 billion in Marvell in March alongside an NVLink Fusion partnership.”
And Shrout said, “On the PC side, both companies committed to multiple generations of RTX Spark and DGX Spark silicon. The first RTX Spark laptops arrive this fall as you know, and a roadmap from the largest Arm chip designer gives Windows on Arm a durability argument it has not had.”
Nvidia and MediaTek are collaborating in three major areas:
- AI infrastructure: MediaTek will work with Nvidia’s NVLink Fusion ecosystem to enable customers to develop custom AI infrastructure designed to integrate with Nvidia rack-scale systems and AI factories.
- Local AI computing: The companies will continue to collaborate on multiple generations of Nvidia RTX Spark and DGX Spark PC chips, powering consumer PCs, AI developer supercomputers and enterprise-class workstations, that integrate NVIDIA GPUs with MediaTek SoCs.
- Automotive: MediaTek and Nvidia will continue developing platforms for AI-powered, software-defined vehicles in the era of physical AI.
“AI is transforming every computing platform — from the world’s largest AI factories to the PC and the car,” said Jensen Huang, CEO of Nvidia, in a statement. “MediaTek is one of the world’s great semiconductor companies, with exceptional expertise in system-on-chip design, connectivity, leading performance and power efficiency. Together, we’re building platforms that bring NVIDIA accelerated computing to new markets and give customers the freedom to create differentiated AI systems at enormous scale.”
“MediaTek and Nvidia share a vision for making advanced AI computing pervasive across the technology landscape,” said Rick Tsai, vice chairman and CEO of MediaTek, in a statement. “Nvidia’s investment strengthens a collaboration that spans cloud AI infrastructure, local AI computing and automotive in the era of physical AI. By combining Nvidia’s leadership in accelerated computing and AI software ecosystem with MediaTek’s expertise in a diverse AI technology portfolio from edge to cloud, and our leadership position in custom silicon, we can accelerate innovation for our customers.”
Building Custom AI Infrastructure With NVLink Fusion Platform
MediaTek will offer the NVLink Fusion platform as a design foundation for customers developing custom AI accelerators, enabling their platforms to evolve alongside future NVIDIA architectures.
The NVLink Fusion platform provides a prebuilt, prequalified and system-prevalidated foundation for multi-die XPU development — accelerating the path from silicon and advanced packaging to rack-scale systems.
The NVLink Fusion platform brings together the critical technologies surrounding a custom XPU, including:
- Nvidia NVLink Fusion chiplet, connecting XPUs to the Nvidia and MediaTek today announced Nvidia has invested $3.5 billion in convertible bonds issued by MediaTek.
- NVLink scale-up fabric using Nvidia and MediaTek today announced Nvidia has invested $3.5 billion in convertible bonds issued by MediaTek.
- photonics or electrical interconnects.
- Nvidia NVLink-C2C, providing high-bandwidth, energy-efficient connectivity between XPUs, NVIDIA Rosa CPUs and other compatible processors.
- Nvidia NVHBM, integrating customized memory capabilities to increase bandwidth and energy efficiency while dedicating more silicon area to compute.
Building a custom accelerator is only the beginning of deploying custom XPUs in rack-scale AI factories. Integrating multi-die architectures, advanced packaging, high-speed SerDes, HBM, I/O and scale-up networking into a manufacturable, production-ready system requires extensive chip-to-rack engineering, qualification and supply-chain support.
Rather than engineering and qualifying every element surrounding a custom XPU from the ground up, customers can focus resources on the differentiated compute that defines their platforms while relying on Nvidia and MediaTek today announced Nvidia has invested $3.5 billion in convertible bonds issued by MediaTek.
and MediaTek for the NVLink connectivity, memory architecture, packaging, manufacturing and rack-scale technologies required for production deployment.
Customers can bring their XPU designs to MediaTek and tailor connectivity, memory, packaging, performance and power characteristics to their workloads and infrastructure requirements.
Additionally, MediaTek is part of the broader Nvidia NVLink Fusion ecosystem, which enables hyperscalers, cloud service providers and frontier model developers to seamlessly connect custom XPUs to Nvidia’s AI infrastructure.
With NVLink Fusion, partners can leverage Nvidia’s proven scale-up and scale-out technology stack and ecosystem, as well as the Nvidia MGX rack-scale architecture, to reduce development complexity, increase performance and accelerate time to market for semi-custom AI factories.
Bringing Supercomputers to Local AI Computing
Nvidia and MediaTek are collaborating to advance local AI computing for the era of generative and agentic AI, combining Nvidia’s leadership in accelerated computing with MediaTek’s expertise in high-performance, power-efficient system-on-chip design.
MediaTek collaborated with Nvidia on the GB10 Grace Blackwell Superchip that powers Nvidia DGX Spark, which combines an Nvidia Blackwell GPU and Grace CPU connected by NVLink-C2C to bring powerful AI capabilities to edge systems. The companies have extended their collaboration with Nvidia RTX Spark to power the next generation of consumer PCs redefined for the AI era.
Advancing the AI-Defined Vehicle in the Era of Physical AI
Additionally, Nvidiaand MediaTek are collaborating across multiple generations to advance AI-powered, software-defined vehicles, combining MediaTek’s automotive system-on-chip design leadership with Nvidia’s accelerated computing, AI, graphics and software.
MediaTek Dimensity Auto platforms integrate Nvidia technologies to deliver advanced AI and Nvidia RTX graphics for intelligent vehicle cockpits and can work alongside Nvidia Drive AGX. The companies continue to build on this foundation across future generations, creating a scalable architecture for increasingly intelligent, AI-defined vehicles.
In a press call, Nvidia’s senior director Dion Harris said MediaTek will adopt the Nvidia NVLink Fusion platform as a design foundation for its custom XPU (accelerated processing unit) customers.
By utilizing NVLink Fusion, MediaTek customers can integrate custom XPUs into Nvidia’s “AI factories” in a more efficient way, Harris said, through pre-validation. This represents an extension of a relationship on local AI computing, where the companies previously worked on GB10 for DGX Spark. The companies will also work together on software-defined vehicles.
“AI is reshaping every computing platform, like from enterprise cloud AI factories to PCs and even the cars we drive,” Harris said. “Building that future takes a partnership across chips, systems, software, connectivity, and bringing that all to production. So MediaTek brings a deep expertise in high performance, power efficient SOCs, packaging, and connectivity. Nvidia brings accelerated computing, AI software, graphics, and rack scale infrastructure. Together, we’re expanding across AI infrastructure, local AI computing, and automotive. So today, we’re excited to announce that MediaTek is adopting the Nvidia NVLink Fusion platform.”