Nvidia acquires $2B stake in Synopsys to accelerate the next era of AI-driven engineering

Nvidia is deepening its push into engineering and chip design with a major investment in Synopsys, purchasing $2 billion of the company’s common stock as part of a multiyear partnership announced Monday. The deal brings together two of the most influential players in semiconductor design and accelerated computing, with a shared goal of pushing AI deeper into the tools engineers use to build next-generation systems.

“This expanded partnership will integrate the strengths of NVIDIA’s AI and accelerated computing with Synopsys’ market-leading engineering solutions to deliver capabilities enabling R&D teams to design, simulate and verify intelligent products with greater precision, speed and at lower cost. In addition, NVIDIA invested $2 billion in Synopsys common stock at a purchase price of $414.79 per share,” the two companies said in a news release.

The partnership arrives at a time when R&D teams across industries — from chipmakers to aerospace, automotive, industrial, and energy — are under growing pressure. Workflows are becoming heavier, development timelines are tightening, and the cost of bringing new products to market keeps rising. Nvidia and Synopsys say their expanded alliance aims to address that reality by bringing Nvidia’s AI and accelerated computing into Synopsys’ design and simulation stack, giving engineers a more capable environment for modeling and verifying complex systems.

Nvidia disclosed that it purchased Synopsys’ stock at $414.79 per share. Beyond the investment, Nvidia will work with Synopsys to advance a range of compute-intensive applications, build out agentic AI engineering tools, improve cloud accessibility, and develop joint go-to-market plans. Both companies emphasized that the partnership is non-exclusive, meaning each can continue working with other firms in the ecosystem.

Jensen Huang framed the announcement as a new phase of AI-driven engineering. “CUDA GPU-accelerated computing is revolutionizing design — enabling simulation at unprecedented speed and scale, from atoms to transistors, from chips to complete systems, creating fully functional digital twins inside the computer,” he said. “Our partnership with Synopsys harnesses the power of NVIDIA accelerated computing and AI to reimagine engineering and design — empowering engineers to invent the extraordinary products that will shape our future.”

Synopsys, long considered one of the most important companies in chip design and electronic design automation, sees the same opportunity.

“The complexity and cost of developing next-generation intelligent systems demands engineering solutions with a deeper integration of electronics and physics, accelerated by AI capabilities and compute,” said Synopsys CEO Sassine Ghazi. “No two companies are better positioned to deliver AI-powered, holistic system design solutions than Synopsys and NVIDIA.”

Investors reacted quickly. Synopsys shares climbed about 7% in premarket trading, while Nvidia dipped slightly, down about 1%, CNBC reported. CNBC added that both companies will hold a joint press conference at 10 a.m. EST.

The move extends Nvidia’s momentum as the leading supplier of GPUs that power AI training and inference across the tech sector. Synopsys, meanwhile, continues to grow as a backbone provider for chipmakers and system designers looking to integrate AI into their products.

If this partnership gains traction, it could reshape how engineering teams model everything from semiconductor layouts to complete digital twins, tightening the link between physics-based design and AI-driven automation—and changing how complex systems are built in the first place.

Synopsys