Jensen Huang Thanks Sega for the $5M Investment That Saved Nvidia in 1995
Nvidia's CEO visited Sega to express gratitude for the lifeline that kept the company afloat.
1The Historic Bond Between Nvidia and Sega
Nvidia CEO Jensen Huang traveled to Tokyo to thank Sega for the $5 million investment in 1995 that saved his company from bankruptcy. Huang emphasized that this support was crucial for Nvidia's current success.
2The Failure of the NV1 Chip
In 1995, Nvidia launched its first chip, the NV1. However, Microsoft's DirectX made triangle-based graphics the standard, leading to the NV1's failure and pushing Nvidia into a financial crisis.
3Sega's Life-Saving Investment
Jensen Huang met with Sega's former CEO Shoichiro Irimajiri to request converting a contract payment into an equity investment. Irimajiri approved this risky move, giving Nvidia six more months to survive.
4The Turning Point with RIVA 128
With Sega's investment, Nvidia developed the RIVA 128, a triangle-based chip. Released in 1997, it sold one million units in four months, marking a turning point for the company.
5Nvidia's Current Position
Nvidia went public in 1999 and is now the world's most valuable company. Sega's investment could be worth nearly $1 trillion today.
6Celebrating 30 Years of Collaboration
During his Tokyo visit, Jensen Huang reunited with Sega's former executives to celebrate 30 years of collaboration. The two companies decided to bring a new Virtua Fighter game to Nvidia hardware.