Meta and Nvidia Amplify AI Collaboration with a Multi-Billion Dollar Chip Contract
In a significant advancement for both tech giants, Meta Platforms and Nvidia unveiled an extended multiyear collaboration on Tuesday, February 17, 2026. This expansion will enable Meta to integrate millions of Nvidia’s AI chips into its data center infrastructure.
The agreement, speculated to be worth tens of billions of dollars, incorporates Nvidia’s current Blackwell GPUs and next-generation Rubin processors. This deal signifies a remarkable milestone as Meta emerges as the first major tech company to implement Nvidia’s Grace central processing units (CPUs) as standalone chips. Meta has plans to roll out its first large-scale Grace CPU-only servers and aims to launch Vera CPU-only systems in 2027.
“No one deploys AI at Meta’s scale — integrating frontier research with industrial-scale infrastructure to power the world’s largest personalization and recommendation systems for billions of users,” said Nvidia CEO Jensen Huang. This partnership fortifies Nvidia’s leading position in the AI chip market, notwithstanding the escalating competition from AMD and custom in-house processors.
Meta CEO Mark Zuckerberg expressed that the expanded partnership bolsters the company’s initiative “to deliver personal superintelligence to everyone in the world.” The social media behemoth announced plans in January to invest up to $135 billion on AI infrastructure throughout 2026. The shares of both Meta and Nvidia surged following the announcement, while competitor AMD’s stock plummeted by approximately 4%.
Source: CNBC