Nvidia Invests $2 Billion in Synopsys to Advance AI Engineering Solutions

Dec. 1, 2025 – San Francisco, CA – Nvidia Corp. announced on Monday that it has purchased $2 billion worth of common stock in Synopsys Inc., aiming to expand their strategic partnership focused on revolutionizing engineering and design through accelerated computing and artificial intelligence.

The investment comes as Synopsys, which specializes in chip design software, reported a decline of nearly 14% in stock value this year. Nvidia acquired shares at $414.79 each, slightly below Synopsys’ closing price last Friday, signaling confidence in the semiconductor design software sector.

“This is a huge deal,” Nvidia CEO Jensen Huang stated during an interview with CNBC’s “Squawk on the Street.” He emphasized that the partnership seeks to transform the computing landscape in one of the most challenging fields: design and engineering.

Both companies have a history of collaboration, and this new investment will focus on integrating Nvidia’s CUDA accelerated computing platform with Synopsys’ engineering solutions, enhancing workflows across various industries. These include chip design, physical verification, and AI-driven simulations.

Huang further explained, “The world is shifting to this new way of doing computing,” highlighting the transition from traditional CPUs to specialized GPUs for enhanced performance. The partnership is expected to significantly reduce design times from weeks to mere hours.

Synopsys President and CEO Sassine Ghazi added that the partnership allows their clients to leverage Nvidia’s advanced technology to create intelligent systems efficiently. Both companies have made it clear that this agreement is non-exclusive.

Nvidia’s growing portfolio of AI investments, including recent stakes in various tech companies, has raised some scrutiny about potential conflicts of interest. Huang defended this strategy, asserting it helps diversify dependencies while building essential AI infrastructure.

Synopsys, with a market capitalization of approximately $77.65 billion, will benefit from access to Nvidia’s global sales network, enhancing their go-to-market capabilities for AI-powered engineering solutions. The companies plan to discuss additional details regarding their partnership in an upcoming webcast conference.