By Aminu Abdullahi
Publication Date: 2026-01-05 15:17:00
Nvidia has completed a $5 billion investment in Intel, formally taking a stake in the US chipmaker months after the deal was first announced.
Intel disclosed the transaction in a regulatory filing last Monday, confirming that Nvidia followed through on an agreement revealed in September. Under the deal, Nvidia purchased more than 214.7 million shares of Intel common stock at a fixed price of $23.28 per share. The shares were issued through a private placement, giving Nvidia roughly a 4% ownership position in Intel.
For Intel, the investment delivers a major cash injection at a critical time. The company has spent heavily in recent years to expand and modernize its manufacturing operations, a strategy that strained its finances after a series of execution setbacks.
The Nvidia deal is widely seen as a vote of confidence in Intel’s foundry ambitions, especially as the company moves toward higher-volume production of its next-generation 18A manufacturing process. Intel has positioned 18A as a cornerstone of its effort to compete with leading global chipmakers and attract outside customers.
Having Nvidia — the world’s most valuable semiconductor company — as a shareholder strengthens Intel’s credibility as it tries to prove it can deliver advanced chips at scale.
Nvidia’s strategic angle
The move goes beyond a financial investment for Nvidia. The company relies heavily on external…
