# Nvidia Finances MediaTek So Custom XPUs Still Plug Into Nvidia Racks

Times of AI Desk · 2026-08-31 · Work

[https://timesof.ai/2026/08/nvidia-mediatek-3-5-billion-nvlink-fusion](https://timesof.ai/2026/08/nvidia-mediatek-3-5-billion-nvlink-fusion)

> Nvidia buys $3.5 billion of MediaTek convertible bonds and MediaTek adopts NVLink Fusion — so hyperscalers can drop custom XPUs into Nvidia rack-scale factories. Edge (RTX Spark / DGX Spark) and automotive co-design ride along. How you tax Big Tech silicon without blocking it.

Nvidia is financing the **ASIC guys** so their chips still **plug into Nvidia racks**. That is how you tax **Google/Amazon/Meta silicon** without blocking it.

**NVIDIA** and **MediaTek** said they are deepening a partnership across **AI factories**, **local AI** (multi-gen **RTX Spark / DGX Spark**), and **automotive**. **NVIDIA buys $3.5 billion of MediaTek convertible bonds.** MediaTek adopts **NVLink Fusion** so hyperscalers, CSPs, and frontier labs can design **custom XPUs** that drop into **NVLink rack-scale** factories. Jensen Huang: “freedom to create differentiated AI systems at enormous scale.”

## The deal

| Item | NVIDIA + MediaTek newsrooms Aug 31 |
|------|-------------------------------------|
| **Financing** | **$3.5B** NVIDIA → MediaTek **convertibles** |
| **Fabric** | **NVLink Fusion** for custom **XPUs** |
| **Edge** | Multi-gen **RTX Spark / DGX Spark** |
| **Auto** | Continued co-design |

## Limits

- First named **XPU** customer is not in the release.
- Whether **$3.5B** is a floor for similar convertible deals is open.
- TechCrunch framing is secondary analysis; primary is the joint newsroom posts.

## Sources

- [NVIDIA: NVIDIA and MediaTek deepen long-standing partnership (August 31, 2026)](https://nvidianews.nvidia.com/news/nvidia-and-mediatek-deepen-long-standing-partnership-to-build-ai-edge-to-cloud-computing-platforms)
- [MediaTek press room, same day](https://www.mediatek.com/press-room/nvidia-and-mediatek-deepen-long-standing-partnership-to-build-ai-edge-to-cloud-computing-platforms)
- [TechCrunch: Nvidia’s $3.5B MediaTek bet (August 31, 2026)](https://techcrunch.com/2026/08/31/nvidias-3-5b-mediatek-bet-reveals-its-plan-for-tackling-big-techs-ai-chip-buildout/)