Nvidia and Eli Lilly announced a $1 billion collaboration to build an AI-powered drug discovery lab in the San Francisco Bay Area. The partners will combine Nvidia’s computing and AI infrastructure with Lilly’s drug-discovery expertise to accelerate lead identification and preclinical work. The lab is positioned to host large-scale generative and predictive models trained on proprietary and public datasets to compress timelines across discovery workflows. The tie-up signals major-capital deployment by a leading pharma and a leading chipmaker into integrated AI R&D infrastructure. Nvidia’s platform capabilities aim to reduce iterative wet-lab cycles, while Lilly gains tailored compute and modelling capacity. Companies and investors will watch for governance on data access, IP terms and whether the lab yields candidate molecules moving to IND-enabling stages.