By Hannah Murphy,Michael Acton
Publication Date: 2026-02-17 21:15:00
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Meta has agreed to spend billions of dollars on millions of Nvidia’s chips in a multiyear deal, as the world’s biggest chips group tries to maintain its dominance of the market for AI data centre hardware.
The social media giant’s move to renew and expand its relationship with Nvidia comes as the chip group faces increased competition from rivals such as AMD and its own Big Tech customers, including Meta, who are developing in-house hardware.
Ben Bajarin, chief executive and principal analyst at tech consultancy Creative Strategies estimated the deal, announced on Tuesday, would be worth billions of dollars.
Meta chief Mark Zuckerberg last month announced the Facebook and WhatsApp owner would nearly double its AI infrastructure spending to as much as $135bn this year.
Nvidia, which for the past three years has been the chief beneficiary of the massive global spending spree on AI infrastructure, is facing increasingly forceful moves by its customers to reduce their dependency on its hardware.
Google, Amazon and Microsoft have all announced new in-house chips in recent months, while OpenAI has co-developed a chip with Broadcom and struck a significant deal with AMD.
Meta has also invested in developing several AI chips in-house. Zuckerberg has outlined plans to achieve a lower cost of computing by deploying its own processors, which are optimised to…
