Meta and Nvidia Strike Massive Multibillion-Dollar AI Chip Deal

Meta Goes All-In on Nvidia for AI Infrastructure

Meta Platforms and Nvidia have announced a landmark multiyear partnership that will see Meta deploy millions of Nvidia's most advanced AI chips across its global data centre network. The deal, estimated to be worth tens of billions of dollars, represents one of the largest AI hardware commitments ever made by a single company.

The agreement covers a sweeping range of Nvidia's technology stack, including Blackwell and next-generation Vera Rubin GPUs, Grace and Vera CPUs, and Spectrum-X Ethernet networking technology. Notably, Meta becomes the first hyperscale company to deploy Nvidia's Arm-based Grace CPUs as standalone processors, rather than paired with GPUs in a single server configuration.

Personal Superintelligence as the Goal

Meta CEO Mark Zuckerberg framed the partnership as essential to the company's goal of delivering what he calls personal superintelligence to billions of users worldwide. The company's Superintelligence Labs initiative is driving much of this investment, with Meta projecting capital expenditure of between one hundred and fifteen billion and one hundred and thirty-five billion dollars for twenty twenty-six alone, nearly double the seventy-two billion spent last year.

A Signal of Nvidia's Continued Dominance

The expanded deal is significant given earlier reports that Meta had been in discussions with Google about potentially using its TPU chips. Tuesday's announcement firmly positions Nvidia as Meta's primary AI hardware partner, even as Meta continues to invest in its own custom silicon. Engineering teams from both companies will collaborate on optimising AI models for Meta's infrastructure.

The Bigger Picture

Meta is not alone in its spending spree. Alphabet, Amazon, and Microsoft are collectively expected to invest around six hundred and fifty billion dollars in AI infrastructure this year. The deal also includes Nvidia's Confidential Computing technology, which Meta will use for privacy-enhanced AI processing on WhatsApp, adding a notable security dimension to the partnership.