Nvidia Corp. surprised the tech market this Thursday by announcing a $5 billion investment in Intel Corp., forging a strategic alliance. The goal: co-design chips for personal computers and data centers that integrate Nvidia’s artificial intelligence capabilities with Intel’s traditional processors.

The deal includes the purchase of Intel common stock at $23.28 per share, making Nvidia one of Intel’s top shareholders with a stake of nearly 4%. In addition, both companies explained that the new desktop chips will combine x86 CPUs with integrated RTX GPUs, while the data center processors will benefit from Nvidia’s advanced graphics technology.

The announcement triggered an immediate reaction in the markets: Intel shares surged as much as 26% after the news broke, highlighting investor confidence in this joint move.

What are the real implications of this collaboration between two rival giants?

This agreement could reshape the global tech landscape by accelerating innovation in chips and AI services. Intel gains financial stability and access to cutting-edge technology, while Nvidia expands its vertical integration and strengthens its dominance in AI solutions.

The new era of cooperation between the two companies raises a key question: will this alliance mark the turning point for Intel to regain its historic position, or will it only be a temporary patch in its struggle to stay relevant? The coming months will determine how much of the promise becomes reality.