Nvidia will invest $5 billion in Intel, co-develop new server and PC chips

In a major collaboration that would have been hard to imagine just a few years ago, Nvidia announced today that it was buying a total of $5 billion in Intel stock, giving Intel's competitor ownership of roughly 4 percent of the company. In addition to the investment, the two companies said that they would be co-developing "multiple generations of custom data center and PC products."

"The companies will focus on seamlessly connecting NVIDIA and Intel architectures using NVIDIA NVLink," reads Nvidia's press release, "integrating the strengths of NVIDIA’s AI and accelerated computing with Intel’s leading CPU technologies and x86 ecosystem to deliver cutting-edge solutions for customers."

Rather than combining the two companies' technologies, the data center chips will apparently be custom x86 chips that Intel builds to Nvidia's specifications. Nvidia will "integrate [the CPUs] into its AI infrastructure platforms and offer [them] to the market ...