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Nvidia announced an investment of $3.5 billion in the Taiwanese company MediaTek to strengthen their partnership and expand its influence in artificial intelligence infrastructure and data centers. The investment involves purchasing convertible bonds into shares and reflects Nvidia's approach to enhancing interconnect technologies such as NVLink Fusion and NVHBM, which are used to improve communication within data centers. This move is part of a broader strategy to establish Nvidia's technologies as a standard in the AI industry, coinciding with MediaTek's expansion into the AI chip market, where it is expected to achieve sales of up to $2 billion this year and capture 15% of the $80 billion market. The deal underscores Nvidia’s commitment to solidifying its leadership amid increasing competition from major companies, with projected revenue growth of 70% over the next year.
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