Catenaa, Wednesday, May 154, 2025-Nvidia’s stock surged as much as 6.4% on Monday, reaching an intraday high of $130.99 per share, after the company announced a strategic partnership with Saudi Arabia’s Humain, a subsidiary of the kingdom’s Public Investment Fund.
The surge helped Nvidia’s market capitalization climb back above $3 trillion, marking its highest valuation since February 2025. Despite this boost, Nvidia’s shares remain down 2.5% year-to-date, largely due to broader market uncertainty and trade tensions.
The collaboration will see Nvidia supply its advanced AI chips, including the GB300 Grace Blackwell chips, for a major AI data center project in Saudi Arabia. The first phase of the buildout will involve 18,000 chips as part of a 500-megawatt facility intended to drive the kingdom’s AI, cloud computing, and robotics initiatives. Nvidia will work closely with Humain to develop cutting-edge infrastructure to power Saudi Arabia’s Vision 2030, which aims to diversify the nation’s economy away from oil reliance.
This announcement comes on the heels of a broader $600 billion investment agreement between the US and Saudi Arabia, where President Trump played a pivotal role.
The deal includes investments in AI, energy, and defense, with a commitment to establishing Saudi Arabia as a global leader in advanced technologies. The partnership underscores the strategic importance of AI in both the US and Saudi economic agendas.
The deal also follows a major policy shift by the Trump administration, which lifted export restrictions on advanced AI chips to countries like Saudi Arabia, which had been previously imposed under the Biden administration.
The move is expected to further bolster Nvidia’s position in the growing AI market, with competitors like AMD and Amazon also eyeing investments in the region’s tech ecosystem.
