Intel completes $5 billion share sale to Nvidia, deepening strategic AI partnership

The transaction marks a key milestone in a broader collaboration between Intel and Nvidia, as the two chipmakers align on AI, data centre innovation, and next-generation computing platforms amid intensifying global semiconductor competition.

Intel Corporation has completed the sale of 214.78 million common shares to Nvidia for $5 billion, formalising a strategic investment first announced earlier this year. The transaction was finalised on December 26, following a Securities Purchase Agreement signed between the two companies in September 2025. The shares were priced at $23.28 each.

The investment comes at a critical juncture for Intel, which has been navigating slowing growth, rising competition, and financial pressure. The company reported a net loss of $18.8 billion in 2024, its first annual loss in nearly four decades, underscoring the scale of its ongoing turnaround efforts.

Strategic collaboration on AI and computing

Beyond the financial investment, the deal anchors a wide-ranging technology collaboration between Intel and Nvidia. The two companies plan to co-develop custom silicon for data centres and personal computing, combining Nvidia’s artificial intelligence and accelerated computing capabilities with Intel’s x86 CPU ecosystem.

For data centre deployments, Intel will design custom x86 processors tailored for Nvidia’s AI platforms, supporting large-scale training and inference workloads. In the personal computing segment, Intel will manufacture system-on-chips that integrate its CPUs with Nvidia RTX GPU chiplets, targeting high-performance consumer and professional systems.

Broader ecosystem push

The Nvidia investment also aligns with wider efforts to strengthen domestic semiconductor manufacturing in the United States, following a separate agreement under which the US government acquired a minority stake in Intel to support local chip production.

For Nvidia, the transaction reinforces its strategy of expanding influence across the AI value chain. The company has been actively pursuing acquisitions and partnerships to secure critical technologies and infrastructure, positioning itself at the centre of next-generation AI computing.

Industry observers view the Intel–Nvidia partnership as a significant realignment in the semiconductor landscape, with both companies seeking scale, resilience, and technological leadership as demand for AI-driven computing accelerates globally.