Why NVIDIA (NVDA) Is Turning Its AI Hardware Lead Into an Infrastructure Moat

NVIDIA Corporation (NASDAQ:NVDA) is one of the best stocks to buy with wide moats.

The latest moat-relevant update came on May 7, 2026, when NVIDIA Corporation (NASDAQ:NVDA) and IREN announced a strategic partnership to accelerate the deployment of up to 5 gigawatts of NVIDIA DSX-aligned AI infrastructure across IREN’s global data-center pipeline. The companies said future deployments are expected to focus on IREN’s 2-gigawatt Sweetwater campus in Texas, which is planned as a flagship deployment for NVIDIA’s DSX architecture. As part of the deal, IREN also issued NVIDIA a five-year right to purchase up to 30 million shares at $70 per share, giving NVIDIA the right to invest up to $2.1 billion, subject to conditions.

NVIDIA (NVDA): 10 Best Stocks to Buy for the Next 15 Years

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The update fits the wide-moat angle because NVIDIA’s advantage increasingly extends beyond selling GPUs to encompass a broader AI infrastructure stack. The companies framed DSX around accelerated compute, AI factories, networking, software, power, and operations, which reinforces NVIDIA’s role as an architecture provider rather than just a component supplier. Morningstar also assigns NVIDIA a wide economic moat, citing its leadership across GPUs, hardware, software, and networking tools needed for AI workloads.

NVIDIA Corporation (NASDAQ:NVDA) develops graphics processors, accelerated computing platforms, AI infrastructure, networking products, software, and related technologies for data centers, gaming, professional visualization, automotive, robotics, and other markets.

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