Nvidia (NVDA) shares rose 3.7% on Wednesday after a 6% gain the previous day, pushing its market cap above $3 trillion. The jump followed announcements of multi-billion-dollar AI chip deals with Saudi Arabia during an investment forum attended by President Trump.
Nvidia will supply hundreds of thousands of AI chips to Saudi AI venture Humain over five years, starting with the Grace Blackwell AI supercomputer featuring 18,000 GB300 chips. Bank of America valued the deal at $7 billion, raising Nvidia’s stock target to $160. Other US chipmakers like AMD and Qualcomm also secured deals with Humain, with AMD’s worth $10 billion.
Additionally, the Trump administration may allow the UAE to purchase over a million Nvidia AI chips, according to Bloomberg. Analyst Stacy Rasgon noted this as strong AI hardware demand, despite concerns about sustainable AI infrastructure spending.
In related news, server maker Super Micro Computer (SMCI) signed a $20 billion deal with Saudi’s DataVolt, boosting its shares by over 18%.
These deals come as Saudi Arabia announced a $600 billion tech investment plan. Meanwhile, the US moved to ease export restrictions on Nvidia chips to the Middle East while maintaining a ban on selling them to China, citing concerns over Huawei’s AI chip use.