Nvidia Invests $3B in Meta to Power Muse AI Agents
Nvidia will invest $3 billion in Meta's equity offering as the two tech giants deepen their Muse AI partnership and expand Vera Rubin chip deployments.
Nvidia will invest $3 billion in Meta's equity offering, the two companies announced on Tuesday, October 27, 2026. The deal deepens their partnership around Meta's Muse AI assistant and its family of AI models, at a moment when both companies are betting heavily on AI agents - software that can carry out tasks on a user's behalf. Meta's Muse models and agents already run on Nvidia infrastructure. Under the expanded deal, the two companies will work together to improve training and inference performance across Muse, while cutting the cost of running it.
What the $3 billion deal covers
The investment sits inside Meta's huge equity fundraising. Meta first announced plans to raise up to $95 billion in stock offerings to bankroll its AI infrastructure buildout, then increased the total to $97.5 billion on Tuesday, the largest fundraising in its history. The first wave of the offering includes about $25 billion of Class A common stock priced at $625 per share and $12.5 billion of depositary shares priced at $50 each. A further program of up to $60 billion in share sales is planned after Meta's new nonvoting Class C shares begin trading in early 2027. Nvidia is not the only chipmaker buying in. AMD said on Tuesday it will invest $1 billion in the same offering, while Broadcom was also named in the prospectus as a potential buyer. Together, the chipmakers had been expected to buy up to $5 billion of Meta shares in aggregate.
More Nvidia hardware inside Meta
As part of the expanded partnership, Meta plans to deploy more Nvidia hardware across its data centers. That includes Vera Rubin systems and Vera central processing units for next-generation AI agents, plus Spectrum-X Ethernet networking and BlueField-4 technology to move data faster between machines. The goal, the companies said, is maximum performance per watt: squeezing more AI work out of every unit of power, which matters when data centers are among the biggest costs in the AI race. The two companies will also explore further work on Nvidia's OpenShell reference architecture, which is designed to deploy AI agents safely, and Nvidia Sentry, a tool for monitoring how agents behave once they are running.
Why Muse matters to both companies
Muse is central to Meta chief executive Mark Zuckerberg's plan to deliver "personal superintelligence" to the billions of people who use Meta's services every day. Known internally as Hatch, Muse is modeled on the open-source AI agent OpenClaw, and can access a user's email, calendar, payments, health, shopping and smart-home apps, with users able to revoke access at any time. For Nvidia, the deal locks in demand from one of its biggest customers. Meta is one of the world's largest buyers of AI chips, and a customer that is also a shareholder has an extra reason to keep buying its hardware. Nvidia chief executive Jensen Huang called AI agents a new computing paradigm, describing software that understands goals, reasons, uses tools and gets work done on behalf of people. He said the expanded partnership will optimize computing infrastructure end to end for capable, efficient and secure AI agents.
A bigger AI spending wave
The deal lands in the middle of an extraordinary week for AI financing. Anthropic filed for an initial public offering, Microsoft offered voluntary buyouts to around 60,000 employees as it funds its own AI buildout, and SpaceX raised $40 billion in debt for computing hardware. Meta itself turned to shareholders even though it is one of the world's most profitable companies, and its $97.5 billion offering is the largest fundraising in its history. That is a sign of just how large the AI buildout has become: even the richest tech companies now need outside money to keep building.
What to watch next
Investors will watch how quickly Meta's expanded Nvidia deployments translate into faster, cheaper Muse agents, and whether the partnership helps Meta close the gap with rivals in the AI agent race. The next test comes when Meta's first wave of share sales closes and the company starts putting the new capital to work in its data centers.
Sources
- Reuters - https://indianexpress.com/article/technology/tech-news-technology/nvidia-meta-deepen-ai-ties-with-3-billion-investment-deal-10938937/ - Morningstar (Dow Jones) - https://www.morningstar.com/news/dow-jones/20261027752/nvidia-to-invest-3-billion-in-metas-equity-offering-as-they-expand-ai-partnership - Invezz - https://invezz.com/news/2026/10/27/nvidia-stock-rises-after-meta-deal-but-ai-financing-risks-linger/