NVIDIA deepens MediaTek tie-up for custom AI chips

NVIDIA is committing $3.5 billion to purchase convertible bonds issued by MediaTek, extending a partnership focused on AI infrastructure, local AI computing, and software-defined automotive platforms. MediaTek is adopting NVIDIA’s NVLink Fusion platform as a design partner for cloud service providers, frontier model developers, and hyperscalers building custom AI accelerators known as XPUs.

The collaboration is aimed at letting customers integrate specialized processing dies into NVIDIA’s rack-scale MGX architectures, with MediaTek pitching lower development complexity, stronger performance, and faster routes to market. NVLink Fusion is positioned as the connective layer that allows custom XPUs to work within NVIDIA’s broader ecosystem and scale across large AI factory deployments.

The companies also plan to continue work on RTX Spark and DGX Spark systems for local AI computing. In automotive, MediaTek’s system-on-chip design expertise will be paired with NVIDIA’s DRIVE AGX hardware and software stack, keeping NVIDIA’s platforms central to custom silicon efforts across cloud, client, and vehicle markets.