NVIDIA invested USD 3.5 billion in MediaTek on August 31, 2026, expanding their AI chip partnership across Taiwan and global markets. The investment covers convertible bonds from MediaTek’s USD 3.9 billion overseas offering.
NVIDIA is relying on the deal to strengthen custom AI chip development through its NVLink Fusion platform. The technology will allow MediaTek customers to connect custom AI accelerators with NVIDIA’s large data center systems.
The partnership expands across AI infrastructure, personal computing and automotive technology amid increasing demand for custom AI chips. MediaTek also gains access to NVIDIA’s connectivity and memory technologies for custom accelerator development.
The companies will continue working on AI-powered PCs and software-defined vehicles. Alphabet has also joined MediaTek’s bond offering, although its investment size remains undisclosed.
NVLink Fusion gives MediaTek a prevalidated foundation for customers developing custom AI accelerators. The platform combines NVIDIA chiplet technology, high-speed connectivity and specialized memory capabilities. This approach reduces engineering work needed to connect custom processors with NVIDIA’s rack-scale systems.
The deal also strengthens MediaTek’s push beyond smartphones into higher-value AI infrastructure markets. NVIDIA also gains another partner that could extend its architecture while custom silicon adoption grows. The companies had previously worked together on NVIDIA’s DGX Spark and RTX Spark PC platforms.
Automotive technology also remains part of the expanded partnership. MediaTek’s Dimensity Auto platforms integrate NVIDIA technologies for intelligent vehicle cockpits and AI-powered vehicles. The companies will continue developing these platforms alongside NVIDIA DRIVE AGX technology.
NVIDIA CEO Jensen Huang defended the investment while discussing concerns around circular financing arrangements. “This is not circular because obviously they do their own business and we do our own business,” Huang said.
The MediaTek investment followed NVIDIA’s USD 2 billion investment in Marvell under its NVLink Fusion strategy. The latest deal shows that NVIDIA has expanded its role beyond GPUs into the wider AI chip ecosystem.
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