San Francisco – Meta Platforms has committed to deploying “millions” of Nvidia processors over the coming years, deepening the partnership between two major players in the artificial intelligence sector. The announcement, made on February 17, highlights Meta’s decision to increase its reliance on Nvidia’s AI processors and networking equipment, with a new focus on Nvidia’s Grace central processing units, or CPUs, which will be used in standalone computers for the first time.
The collaboration will feature products based on Nvidia’s current Blackwell generation and the upcoming Vera Rubin design of AI accelerators. “We’re excited to expand our partnership with Nvidia to build leading-edge clusters using their Vera Rubin platform to deliver personal superintelligence to everyone in the world,” said Mark Zuckerberg, chief executive officer of Meta, in the statement.
This agreement underscores Meta’s commitment to Nvidia amidst a changing AI landscape, where Nvidia’s systems remain the industry standard for AI infrastructure, generating significant revenue for the chipmaker. While competitors are offering alternatives, Meta is also exploring the development of in-house components.
Following the announcement, shares of both Nvidia and Meta rose approximately 1 percent in late trading on February 17, while shares of Advanced Micro Devices, a rival in AI processors, fell about 3 percent. Nvidia’s AI accelerators command an average price of around US$16,061 each, according to estimates from IDC. Consequently, acquiring a million of these chips could exceed US$16 billion, not including newer versions or additional Nvidia equipment that Meta is purchasing.
Meta was already the second-largest buyer of Nvidia products, accounting for roughly US$19 billion in the last fiscal year, as reported by Bloomberg. Ian Buck, Nvidia’s vice president of accelerated computing, noted that the companies are not disclosing a dollar figure for this latest commitment or a timeline for its execution.
Buck emphasized that only Nvidia can provide the comprehensive range of components, systems, and software necessary for companies aiming to lead in AI. However, he acknowledged that it is reasonable for Meta and others to investigate alternative options.
At Meta, Zuckerberg has prioritized AI, vowing to invest hundreds of billions of dollars in infrastructure to stay competitive in the evolving market. The company has projected record spending for 2026, with Zuckerberg stating that Meta would allocate US$600 billion toward infrastructure projects over the next three years. This includes the construction of multiple gigawatt-sized data centers in states such as Louisiana, Ohio, and Indiana, with one gigawatt capable of powering about 750,000 homes.
Buck highlighted that Meta will be the first major data center operator to implement Nvidia’s CPUs in standalone servers, an area traditionally dominated by competitors like Intel and AMD. This move signifies a challenge to the in-house chip designs created by companies such as Amazon.com’s Amazon Web Services.
Looking ahead, the applications for Nvidia’s chips are expected to expand. Meta, known for platforms like Facebook and Instagram, plans to utilize these chips internally while also leveraging Nvidia-powered computing resources from other providers. Buck stated that Nvidia CPUs will increasingly support functions such as data manipulation and machine learning, noting, “There’s many different kinds of workloads for CPUs.” He added, “What we’ve found is Grace is an excellent back-end data center CPU,” indicating its effectiveness for behind-the-scenes computing tasks and its ability to deliver twice the performance per watt for those workloads.
This strategic partnership between Meta and Nvidia highlights the growing emphasis on advanced AI capabilities and infrastructure in a competitive tech landscape, suggesting that both companies are positioning themselves at the forefront of AI technology as they pursue ambitious goals.
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