Meta $META ( ▲ 0.62% ) just made its AI strategy crystal clear: it is going all in on Nvidia $NVDA ( ▲ 1.63% ) . The companies announced a multi-year partnership that will deploy millions of Nvidia Blackwell and Rubin GPUs, along with Nvidia CPUs and networking gear, across Meta’s infrastructure.
The scale matters more than the fine print. Even without disclosed dollar figures, investors now have clearer visibility that one of the world’s largest tech companies plans to anchor its AI future on Nvidia hardware.
From chips to chat apps
This is not just about training models. Meta is also adopting Nvidia’s confidential computing technology for WhatsApp to power AI features while preserving user privacy. That suggests AI will be deeply embedded across Meta’s products, not confined to research labs.
The deal also expands Nvidia’s footprint beyond GPUs into CPUs and networking. Arm $ARM ( ▲ 0.28% ) stands to benefit too, since its architecture underpins many of Nvidia’s server processors, potentially accelerating Arm’s push into data centers.
Everyone else just got crowded out
Big hyperscaler deals tend to create winners and casualties. AMD $AMD ( ▼ 1.46% ) , Broadcom $AVGO ( ▲ 0.29% ) , Intel $INTC ( ▼ 1.56% ) , and Arista Networks $ANET ( ▼ 2.13% ) all face tougher odds of winning Meta’s business as Nvidia entrenches itself across the stack.
Analysts say the agreement reinforces a broader theme: Big Tech is still spending aggressively on AI infrastructure despite market fears about overinvestment. In other words, the AI arms race is far from slowing down, and Nvidia remains the primary weapons supplier.