Shares of Cloudflare (NYSE:NET) spiked today after the company announced that it's partnering with graphics processing unit (GPU) maker NVIDIA.
The tech stock was up by 12.7% as of 3:36 p.m. EDT.
Cloudflare said that it will work with NVIDIA to bring artificial intelligence (AI) to its global edge network. Cloudflare has a suite of services that "protect and accelerate" internet applications for companies, and the new partnership will add NVIDIA's AI to some of Cloudflare's services.
"Cloudflare Workers is one of the fastest and most widely adopted edge computing products with security built into its DNA. Now, working with NVIDIA, we will be bringing developers powerful artificial intelligence tools to build the applications that will power the future," Cloudflare co-founder and CEO, Matthew Prince, said in a statement.
Today's news comes just one day after NVIDIA announced that it will start making its own central processing units (CPUs) for AI data servers. The move will allow NVIDIA to take on Intel even further and adds to the company's dominance in the chip market.
With Cloudflare now working with NVIDIA, investors are likely hoping that the edge computing company will benefit from NVIDIA's continued rise in the artificial intelligence market.
Like most tech stocks, Cloudflare's share price has been all over the map since the beginning of this year. But today's big share price boost helped the company regain some ground it lost over the past few months, and the stock is now up 3% year to date.