Nvidia Invests $2 Billion in Synopsys for AI-Driven Engineering Innovations

TAIPEI, Taiwan — Nvidia announced Monday that it has purchased $2 billion of Synopsys common stock as part of a strategic partnership aimed at enhancing computing and engineering solutions.

The investment, disclosed on December 1, 2025, will help both companies accelerate the deployment of compute-intensive applications and develop joint go-to-market initiatives. Nvidia acquired Synopsys shares at $414.79 each.

"Our partnership with Synopsys harnesses the power of Nvidia accelerated computing and AI to reimagine engineering and design," said Nvidia CEO Jensen Huang. He added that the partnership would empower engineers to create extraordinary products.

Following the announcement, Synopsys’ stock surged approximately 7% in premarket trading, while Nvidia shares experienced a slight decline of about 1%.

The partnership is noteworthy as it allows both companies to cooperate with other players in the industry, expanding their influence in the market. A press conference will be held at 10 a.m. ET to further discuss the collaboration.

Nvidia has emerged as a key player in the AI boom due to its production of graphics processing units (GPUs), which are essential for developing AI models and handling substantial workloads. Meanwhile, Synopsys specializes in silicon design and electronic design automation, supporting clients in creating AI-driven products.

"The complexity and cost of developing next-generation intelligent systems demands engineering solutions with deeper integration of electronics and physics, accelerated by AI capabilities and computing power," stated Synopsys CEO Sassine Ghazi.

Under their expanded partnership, Synopsys plans to incorporate Nvidia’s CUDA-X libraries and GPU acceleration into over 15 software solutions, significantly boosting simulation speeds for tasks such as circuit design and materials engineering.

Experts anticipate that these efforts could produce simulation speeds up to 30 times faster, enhancing productivity and decreasing development time for engineering teams.

Additionally, both companies will work on making GPU-accelerated tools more accessible via cloud platforms, benefitting a wide range of organizations.

This strategic alliance positions Nvidia and Synopsys to lead in AI-powered system design, which is increasingly sought after in various industries.