Chipmaking giant Nvidia announced a multibillion-dollar deal Monday with Coherent, a Butler County-based maker of fiber optic and laser technology critical for data centers.
Nvidia committed to buying billions of dollars in Coherent products while also investing $2 billion to support the Saxonburg company’s research and manufacturing capabilities.
The goal is to accelerate the global build-out of artificial intelligence infrastructure, according to the companies.
Coherent CEO Jim Anderson said in a press release his firm has worked with Nvidia for 20 years.
Nvidia and Coherent began collaborating last year on technology that connects graphics processing units. The largest data centers hold these chips by the tens of thousands.
Coherent did not immediately return a request for further comment.
The company was formerly known as II-VI. It ditched the Roman numerals in 2022 after buying California-based Coherent and adopting its name.
Shares of Coherent on the New York Stock Exchange were up nearly 14% on the day as of 3 p.m.