Nvidia said on Monday it will invest $3.5 billion in MediaTek’s overseas convertible bond offering, deepening ties between the U.S. and Taiwanese chipmakers amid surging demand for AI infrastructure.
The investment is part of MediaTek’s record $3.9 billion convertible bond issuance, which also drew participation from Alphabet as a key AI infrastructure partner. MediaTek said the funds will support its push into AI chips for data centers, complementing a $5 billion financing plan approved in July. Nvidia separately confirmed a 70% long-term revenue growth outlook for next year, reinforcing expectations of sustained demand for AI accelerators.
The move follows Nvidia’s earlier $105 billion guarantee for OpenAI’s Ohio data-center lease, underscoring the company’s expanding role in financing AI infrastructure. Nvidia and MediaTek also launched the RTX Spark PC chip in June to bring AI features to laptops and desktops, while ongoing collaboration includes technology for AI-powered vehicles.
Jensen Huang, Nvidia’s CEO, told Bloomberg TV the investment was not circular, stating that MediaTek operates independently while leveraging Nvidia’s architecture. Joe Tigay, portfolio manager at the Rational Equity Armor Fund, described the deal as Nvidia using its balance sheet to accelerate ecosystem growth rather than financing a direct customer.
