Nvidia to invest $3 billion in Meta and AMD another $1 billion to power the Muse AI agent
New York — Nvidia confirmed on Tuesday that it will invest $3 billion in Meta’s stock offering, in an expanded partnership between the two companies around Muse, the artificial intelligence agent the social media giant wants to make the center of its business.
According to the joint announcement, reported by Dow Jones and Reuters, Meta will expand its deployment of Nvidia infrastructure, including Vera Rubin systems and Vera processors, for next-generation AI agents. The companies are also considering working together in other areas, such as monitoring agent behavior.
The deal seeks to improve the training and inference performance of the Muse models and reduce the cost of running them, at a time when Meta is accelerating its spending on data centers. Meta announced on Monday a plan to raise funds in waves of stock offerings and on Tuesday raised the total figure to $97.5 billion, the largest fundraising in its history, according to Reuters.
AMD joined on Tuesday with a $1 billion investment in the same offering, according to Barron’s. Its Helios server racks will power Meta’s AI models and services, a sign that the chipmaker also wants to secure its place in the company’s infrastructure.
For Nvidia, the deal has a defensive logic: Meta has become a more important AI player with the success of Muse, and there was a risk it would rely increasingly on its own custom chips, developed together with Broadcom. Becoming an investor in Meta reduces that concern, although it does not give Nvidia exclusivity, since Broadcom has also expressed interest in joining the offering.
Meta expects capital spending of between $135 billion and $145 billion this year, almost all of it for artificial intelligence infrastructure, while its quarterly revenue grew 26% to $64.6 billion.
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