Nvidia goes on investing spree to bolster supply chain empire

Summary

CNBC's Kristina Partsinevelos reports on Nvidia's aggressive investment spree in AI infrastructure partners, including a $2 billion investment in Irène and equity stakes in several companies. Analysts differ on whether the investments are supportive or risky. The report also covers a potential Intel-Apple chip deal that could boost Intel's foundry business.

• Nvidia announces $3 billion in new investments, including up to $2 billion in data center operator Irène.
• Nvidia also takes equity stakes in CoreWeave, Coherent, Lumentum, Marvell, and Corning over the last four months.
• Analyst Jordan Klein argues neoclouds solve a real capacity problem for hyperscalers like Microsoft and Meta.
• Analyst Ben Barnett warns that if the cycle turns, the market may question whether demand was organic or supported by Nvidia's balance sheet.
• Intel is reportedly in an agreement with Apple to manufacture chips, potentially for iPhones.
• If Apple moves iPhone chip production to Intel, it would be a huge win for Intel's foundry business and a shift from TSMC.
• Nvidia's next earnings report on May 20th will be a key test for the investment thesis.