NEW YORK, December 30, 2025, 16:03 ET — After-hours
- Nvidia shares slipped about 0.3% in regular trading as investors digested a report of acquisition talks for Israel-based AI21 Labs.
- The chipmaker’s newly disclosed $5 billion Intel stake is also in focus after Intel confirmed the private share sale in a filing.
- Traders are watching for any formal comment on AI21 and for macro signals after the Fed published minutes from its December meeting.
Nvidia (NVDA.O) shares edged lower on Tuesday after a report said the AI-chip leader is in advanced talks to buy Israel-based AI startup AI21 Labs in a deal estimated at $2 billion to $3 billion. The stock ended the regular session down about 0.3% at $187.65.
The report matters because Nvidia has been pushing deeper into the broader AI stack — not just chips, but the software and talent that help companies build and run AI systems. A move for AI21 would add an AI model builder to Nvidia’s orbit at a time when Big Tech and startups are competing hard for scarce engineers and researchers.
It also lands as investors debate how long the AI spending cycle can stay hot, and how aggressively Nvidia should deploy capital after its stock’s huge run. Deal speculation tends to move the shares because it can shift the narrative from near-term chip supply and margins to longer-term platform control.
Calcalist reported the AI21 talks have advanced in recent weeks and said Nvidia’s main interest appears to be AI21’s workforce of about 200 employees; Nvidia declined to comment and AI21 was not immediately available for comment, Reuters reported. AI21, founded in 2017 by Amnon Shashua and others, was valued at $1.4 billion in a 2023 funding round that included Nvidia and Google, the report said.
Chip stocks were largely steady, with the PHLX Semiconductor Index little changed on the day, reflecting cautious year-end positioning rather than a broad sector rotation.
On Wall Street, major indexes were muted in holiday-thin trade, and a market strategist at Nationwide pointed to rebalancing out of expensive tech names rather than panic selling. “It’s just a healthy rebalancing of allocations,” Mark Hackett said. Reuters
Nvidia also remains in the spotlight after Intel said in a filing on Monday that Nvidia bought $5 billion of Intel common stock, completing a transaction announced in September. The shares were sold in a private placement — a direct share sale to one investor rather than a public offering — at $23.28 per share, Reuters reported.
For Nvidia holders, the Intel stake raises questions about what comes next: whether the investment stays purely financial, or whether the companies outline deeper collaboration tied to supply, manufacturing, or platform strategy. Neither company has announced new terms beyond what Intel disclosed in its filing, traders said.
Before the next session, investors will be watching for any confirmation, denial, or regulatory filing that clarifies the AI21 situation, including whether talks progress to a definitive deal. Market participants also expect thin volumes into the New Year holiday to amplify moves in mega-cap tech on headlines.
Macro signals are still in play for growth stocks after the Federal Reserve released minutes from its December policy meeting at 2:00 p.m. EST on Tuesday.
Nvidia’s next scheduled catalyst is its fourth-quarter financial results, which the company’s investor relations calendar lists for February 25, 2026.
As background, Nvidia last reported record quarterly revenue of $57.0 billion for the quarter ended October 26, 2025, driven by data-center demand tied to AI workloads, and it said it had significant remaining share repurchase authorization.
For now, Nvidia’s stock remains sensitive to two forces: deal headlines that hint at how far the company will extend beyond GPUs, and broader shifts in risk appetite that can hit richly valued tech names quickly when trading is thin.
