Nvidia and Intel announced a collaboration to develop custom data center and PC products. Nvidia will invest $5 billion in Intel stock. This move may help Nvidia gain favor with the US government. Nvidia has historically used Intel CPUs in its GPU servers and the collaboration will extend this relationship. AMD is not expected to gain market share due to its competing AI products. Nvidia’s deal to supply RTX GPU chiplets to Intel’s x86 PC CPU products could boost non-data center business. The $5 billion investment is seen as immaterial to Nvidia’s core business plans. Nvidia reinforced its commitment to Arm-based Grace CPUs. Nvidia has not indicated a shift in manufacturing to Intel or a significant change in core products due to the investment.

Read more at Morningstar: Collaboration with Intel Might Bring Some Goodwill with the US