Nvidia Loves This AI Stock — And So Does Wall Street

Synopsys (SNPS), a developer of design software used to create integrated circuits, also markets solutions that enable artificial intelligence (AI) chips and AI-enabled systems to be created more quickly and efficiently. On Dec. 1, Nvidia (NVDA) announced that it had purchased $2 billion of SNPS stock and would enhance its existing partnership with Synopsys. 

Under the new arrangement, Nvidia will attempt to enable the two firms to upgrade products more efficiently, while allowing Synopsys to more intensively utilize the cloud. Nvidia added that the partnership will also boost Synopsys's marketing efforts and improve the “precision” of the systems that the two partners produce.