By Tj Denzer

Copyright shacknews

NVIDIA and Intel have announced that they are about to combine their technology and resources in a number of collaborative efforts over the next few years. NVIDIA and Intel’s deal will see them work together to create new and improved AI datacenters, as well as creating a number of consumer PC products. As an aside to the deal, NVIDIA will also be investing heavily in Intel with a purchase of around $5 billion worth of stock in the company.

Word of Intel and NVIDIA’s new collaboration was reported in a press release on Intel’s newsroom webpages. The full collaboration will see NVIDIA provide Intel with new tech for building AI servers and datacenters, as well as system-on-a-chip (SOC) components for new consumer PCs:

NVIDIA and Intel also announced that the former will put $5 billion into Intel’s common stock at a price of $23.28 per share. This part of the deal is still awaiting closing conditions and approval from regulatory authorities.

Where NVIDIA has been at the top of the market in tech, capitalizing on its investments in AI hardware manufacturing coupled with its consumer PC GPUs and CPUs, Intel has struggled for quite a while as other tech companies passed it up in both the consumer space and in terms of datacenters and AI tech. Tides turned a little bit when the US government bought a 10 percent stake in Intel, but the company also warned that the purchase could hurt its international sales and dilute its shareholders. NVIDIA also hasn’t been completely flawless as the company is currently facing harsh regulation and even restricted business in China despite its success in the global market.

With the collaboration between NVIDIA and Intel, it may be a positive for both companies in the years ahead as they work on PCs and AI together. Stay tuned to the NVIDIA topic as we continue to follow this story for news and updates.