Nvidia Invests $5 Billion in Intel for AI Data Center and PC Development Partnership

Nvidia (NVDA), the world's leading company by market capitalization, has announced a strategic $5 billion investment in Intel (INTC). The two tech giants will collaborate on developing advanced data-center solutions and PC products, leveraging their combined expertise in AI hardware. The Santa Clara-based GPU manufacturer will acquire Intel shares at $23.28 each, representing a 6.5% discount to Wednesday's closing price. While Nvidia dominates AI computing with its GPUs, Intel historically led in microprocessor development and CPU manufacturing. Intel's stock surged 24% following the announcement, boosting its market cap to $143 billion. This partnership follows the U.S. government's recent $8.9 billion investment in Intel to strengthen domestic chip production. The crypto market closely monitors Nvidia's moves as indicators of AI sector sentiment.