The deal gives MediaTek access to NVLink Fusion so customers can deploy custom silicon beside Nvidia GPUs.
Nvidia has invested $3.5 billion in Taiwanese chipmaker MediaTek. MediaTek will use Nvidia’s NVLink Fusion technology to build custom chips for AI companies and hyperscalers. These chips will plug directly into Nvidia-based data centers as part of a rack-scale architecture.
The deal arrives as Amazon, Google, Microsoft, OpenAI, and Anthropic invest in custom silicon to lessen their dependence on Nvidia GPUs. Last week, Nvidia announced a similar partnership with AWS that includes two million additional GPUs and NVLink Fusion integration. MediaTek has been building a custom data center ASIC business and expects $2 billion in revenue from it in 2026.
For builders, this means custom ASIC designs can slot into Nvidia’s rack-scale infrastructure without needing a separate network fabric. Operators can standardize on one platform across AI factories while mixing Nvidia GPUs and custom chips. The deal also gives MediaTek’s customers access to Nvidia’s ecosystem, opening the door for more specialized workloads.
Nvidia and MediaTek extended their collaboration on DGX Spark, a desktop AI computer for developers. MediaTek brings expertise in custom chips for smartphones, smart homes, automobiles, and wireless communications to the partnership. Watch whether MediaTek’s ASIC business reaches $2 billion in revenue by 2026 as Nvidia pushes its NVLink ecosystem into more data centers.
What matters
- Nvidia invested $3.5 billion in MediaTek to support custom AI chip development initiatives.
- Operators can standardize on one rack-scale platform while mixing Nvidia GPUs and custom silicon.
- Watch whether MediaTek’s custom ASIC business hits its $2 billion revenue target in 2026.
Why it matters
Watch whether MediaTek’s custom ASIC business hits its $2 billion revenue target in 2026.
This GenAI News article was prepared in original wording using reporting and materials published by TechCrunch AI. Source reference: https://techcrunch.com/2026/08/31/nvidias-3-5b-mediatek-bet-reveals-its-plan-for-tackling-big-techs-ai-chip-buildout/.
Drafted by the GenAI News review pipeline.