NVIDIA has finalized a $5 billion investment in Intel, acquiring approximately 214.7 million shares at $23.28 per share in a private placement. The deal, disclosed in a regulatory filing, grants NVIDIA roughly a 4% equity stake in Intel and follows regulatory approval from US antitrust authorities, including the Federal Trade Commission.

The private placement allows NVIDIA to acquire shares directly from Intel rather than the open market. Alongside the investment, both companies plan to collaborate on the development of custom data center CPUs and integrated PC system-on-chips. These chips will combine Intel’s x86 architecture with NVIDIA technologies, potentially transforming performance and efficiency for servers and high-performance computing systems.

This strategic partnership represents a significant move in the semiconductor and AI computing markets. Analysts say the collaboration positions Intel and NVIDIA to better compete against rivals in CPUs, GPUs, and AI acceleration solutions. By combining Intel’s longstanding processor expertise with NVIDIA’s leadership in AI and GPU technologies, the companies aim to push the boundaries of data center and PC innovation.

The agreement was initially announced earlier this year and received the necessary regulatory clearance before closing on December 26. With NVIDIA now holding a minority stake, the partnership signals an era of closer cooperation in chip development, particularly in AI-driven workloads and high-performance computing applications.

Industry observers anticipate that future announcements regarding joint product launches will shape the competitive landscape for global chipmakers in 2026 and beyond.