Nvidia (NVDA)The world’s largest public company for market capitalization, said it will invest $ 5 billion in Intel (INTC) and work with the chips manufacturer in the development of personalized data centers and PC products as artificial intelligence becomes more generalized.
The manufacturer of graphic processing units based in Santa Clara, California (GPU) That he underpin Ai Computing will buy shares from his neighbor at $ 23.28 each, 6.5% lower than Wednesday’s closure price of $ 24.90, according to an announcement on Thursday.
While Nvidia is known for its GPU production, Intel was a leader in the development of microprocessors and entered public awareness as a provider of central processing units (CPU) That promoted the microcomputers compatible with IBM. His fortune has decreased as AI, with its intensive computing requirements, has taken roots.
Intel shares increased 24% on Thursday, carrying their market capitalization to $ 143 billion. That is just a fraction of the $ 500 billion that was boasted in 2000, according to CompaniesMarketcap.com. Nvidia, with a value of $ 4.23 billion, increased 1.85%.
The United States government bought a 10% participation in Intel last month for $ 8.9 billion in an attempt to underpin the future of US chip manufacturing.
The cryptographic industry observes the performance of NVIDIA with an acute eye like a proxy for the feeling of the market, which can be reflected in the AI files and the broader cryptographic market.
