Nvidia and MediaTek have announced a collaboration to develop technology for advanced vehicle infotainment systems that can support video streaming, gaming, and AI-driven interactions with drivers. The agreement, unveiled at the Computex trade show in Taipei, involves integrating Nvidia graphic processing unit chiplets and software into MediaTek's system-on-chips used in automakers' infotainment displays. This integration will enable MediaTek systems to be compatible with Nvidia-based automated driving systems, with dashboard displays showing the vehicle's surroundings and cameras monitoring the driver. As automakers incorporate more features like gaming, voice-activated AI, driver monitoring systems, and displays for automated driving, in-vehicle displays, and entertainment systems are becoming increasingly sophisticated.

The collaboration between Nvidia and MediaTek provides Nvidia with expanded opportunities in the 12 billion USD infotainment system-on-chip market. Nvidia has primarily targeted high-end automotive brands like Mercedes-Benz and Jaguar Land Rover, while MediaTek focuses on lower-priced, mass-market vehicle lines with its Dimensity Auto technology. MediaTek brings expertise in mobile connectivity, Android systems, and the Android smartphone chip sector. Nvidia's Vice President of Automotive, Danny Shapiro, highlighted that MediaTek addresses several market segments that Nvidia has not previously targeted.

Movement of Nvidia in the last five years. (Source: Trading Economics)