Nvidia is investing $5 billion into Intel and partnering to integrate RTX chiplets on consumer and AI processors.

NVIDIA just shook up the semiconductor world by dropping $5 billion into Intel, buying a 4.9% stake at $23.28 per share. This isn’t just about money—both companies are teaming up to co-develop future processors and GPUs.

On Thursday, Intel and Nvidia announced a major partnership that shook up the chip market and a number of stocks. But Apple—and Apple fans—shouldn’t start freaking out. The deal is pretty simple. First, Nvidia will buy $5 billion worth of Intel common stock. That alone sent Intel’s stock soaring.

Neither Intel nor Nvidia have said exactly when the first fruits of its co-designed integrated CPUs will ship. But the thinking right now seems to be that it might a take a few years. Nvidia announced a $5 billion investment into Intel last week,

Nvidia announced a $5 billion investment in Intel to co-develop data center and PC chips, aligning two tech giants amid Intel's turnaround backed by the U.S.

Nvidia is investing $5 billion in Intel Corp. to jointly develop and manufacture customer data center and computer products, the two companies announced Thursday.

Nvidia rules PC graphics with an iron fist, but currently lacks an integrated graphics play. That’s created a few safe spaces— like portable gaming laptops and gaming handhelds like the Steam Deck—where Nvidia’s advantages are irrelevant.