Nvidia and OpenAI Forge $100 Billion Partnership to Revolutionize AI Infrastructure

OpenAI and Nvidia's $100B AI plan will require power equal to 10 nuclear reactors

On Monday, OpenAI and Nvidia jointly announced a letter of intent for a strategic partnership to deploy at least 10 gigawatts of Nvidia systems for OpenAI's AI infrastructure, with Nvidia planning to invest up to $100 billion as the systems roll out. The companies said the first gigawatt of Nvidia systems will come online in the second half of 2026 using Nvidia's Vera Rubin platform. "Everything starts with compute," said Sam Altman, CEO of OpenAI, in the announcement. "Compute infrastructure will be the basis for the economy of the future, and we will utilize what we're building with NVIDIA to both create new AI breakthroughs and empower people and businesses with them at scale." The 10-gigawatt project represents an astoundingly ambitious and as-yet-unproven scale for AI infrastructure. Nvidia CEO Jensen Huang told CNBC that the planned 10 gigawatts equals the power consumption of between 4 million and 5 million graphics processing units, which matches the company's total GPU shipments for this year and doubles last year's volume. "This is a giant project," Huang said in an interview alongside Altman and OpenAI President Greg Brockman. To put that power demand in perspective, 10 gigawatts equals the output of roughly 10 nuclear reactors, which typically output about 1 gigawatt per facility. Current data center energy consumption ranges from 10 megawatts to 1 gigawatt, with most large facilities consuming between 50 and 100 megawatts. OpenAI's planned infrastructure would dwarf existing installations, requiring as much electricity as multiple major cities. The partnership follows OpenAI's rapid user growth to 700 million weekly active users. Nvidia's stock rose nearly 4 percent on Monday following the announcement, adding roughly $170 billion to its market capitalization. The partnership establishes Nvidia as OpenAI's preferred strategic compute and networking partner, alongside OpenAI's existing relationships with Microsoft, Oracle, SoftBank, and the recently announced Stargate project partners. The partnership announcement comes a week after Nvidia disclosed a $5 billion investment in Intel, taking a 4 percent stake in its longtime competitor as the two companies plan to co-develop custom data center and PC products.

Nvidia plans to invest up to $100B in OpenAI | TechCrunch

Nvidia announced Monday it plans to invest up to $100 billion in OpenAI as part of a deal to build out massive data centers for training and running AI models. The companies say they signed a letter of intent to deploy 10 gigawatts -- enough to power millions of homes -- worth of Nvidia systems to power OpenAI's next generation of AI infrastructure. The deal may help OpenAI as it reduces its reliance on Microsoft, its largest investor and supplier of cloud computing resources. In January, Microsoft announced changes to its partnership with OpenAI, allowing the ChatGPT-maker to build additional AI infrastructure with other partners. Since then, OpenAI has teamed up with various partners on AI data center projects, such as Stargate. Nvidia says the deal will complement existing partnerships OpenAI has, including agreements with Microsoft, Oracle, and SoftBank. OpenAI says it will work with Nvidia as a "preferred strategic compute and networking partner" for its AI factory growth. It's unclear whether Nvidia's investment will be paid out in chips, cloud credits, cash, or otherwise.

Nvidia Invests in OpenAI With $100 Billion AI Infrastructure Deal

Macy has been working for CNET for coming on 2 years. Prior to CNET, Macy received a North Carolina College Media Association award in sports writing. OpenAI and Nvidia have struck one of the biggest partnerships in AI, with Nvidia pledging to invest up to $100 billion in OpenAI while supplying the compute power needed to build the company's next generation of models. The deal, announced Monday in a letter of intent, calls for OpenAI to deploy at least 10 gigawatts of Nvidia systems over the coming years. The first phase, one gigawatt, is scheduled for the second half of 2026 on Nvidia's upcoming Vera Rubin platform, named for the late dark matter astronomer. Nvidia's investment will grow in scale as each new system is deployed. (Disclosure: Ziff Davis, CNET's parent company, in April filed a lawsuit against ChatGPT maker OpenAI, alleging it infringed Ziff Davis copyrights in training and operating its AI systems.) Don't miss any of our unbiased tech content and lab-based reviews. Add CNET as a preferred Google source. "Everything starts with compute," said OpenAI CEO Sam Altman in a statement. "Compute infrastructure will be the basis for the economy of the future, and we will utilize what we're building with Nvidia to both create new AI breakthroughs and empower people and businesses with them at scale." Read also: Is AI Capable of 'Scheming?' What OpenAI Found When Testing for Tricky Behavior This partnership is notable as AI research is increasingly constrained by access to massive computing resources. By securing a long-term pipeline of Nvidia hardware, OpenAI seeks to guarantee its ability to keep pace with rivals like Google, Anthropic, Microsoft and Meta. For Nvidia, the deal makes it more than just a supplier. By gradually taking a large stake in OpenAI, it positions itself at the center of the AI boom, buying into the biggest AI company. Read also: OpenAI Is Building a Teen-Friendly Version of ChatGPT The completion of this deal will take years, but if the partnership holds, it could define how quickly AI advances, what kinds of models OpenAI can deliver in the future and how accessible those models will be to the global population.

How Nvidia and OpenAI's staggering $100 billion deal could fuel a new age of AI

This deal is bigger than all of NVIDIA's other AI deals combined. Nvidia's partnership with OpenAI to deploy at least 10 gigawatts of Nvidia systems in the next few years is a jaw-dropper. Backing this massive investment in OpenAI's data centers is a staggering $100 billion from Nvidia as the new facilities come online. (Disclosure: Ziff Davis, ZDNET's parent company, filed an April 2025 lawsuit against OpenAI, alleging it infringed Ziff Davis copyrights in training and operating its AI systems.) The collaboration, formalized through a letter of intent, marks the most significant single infrastructure commitment we've ever seen in the rapidly growing AI industry. "This is the biggest AI infrastructure project in history," said Nvidia founder and CEO Jensen Huang in a blog post. "This partnership is about building an AI infrastructure that enables AI to go from the labs into the world." Also: What Nvidia's stunning $5 billion Intel bet means for enterprise AI and next-gen laptops OpenAI, the pioneering force behind ChatGPT, will use millions of Nvidia GPUs to fuel its next generation of AI research and deployment. The first phase of datacenter rollouts is slated to begin in the second half of 2026, built atop NVIDIA's Vera Rubin platform, and is expected to push the boundaries of both AI model training and real-time inference at unprecedented scales. Leaders from both companies have emphasized the transformative potential of their alliance. "This investment and infrastructure partnership mark the next leap forward -- deploying 10 gigawatts to power the next era of intelligence," added Huang. OpenAI CEO Sam Altman echoed the sentiment, calling the forthcoming hardware platform "the fuel that we need to drive improvement, drive better models, drive revenue, drive everything." Also: Deploying agentic AI? You'll probably do business with these 3 companies While Nvidia has made significant investments in AI software companies before, there's been nothing on the scale of its $100-billion commitment to OpenAI. Previously, NVIDIA participated in funding rounds for prominent AI software startups, including earlier investments in OpenAI's 2024 $6.6-billion round, and backing companies such as Cohere, Mistral, Perplexity, CoreWeave, and Scale AI. In total, Nvidia invested around $1 billion across 50 AI startups in 2024. OpenAI's growth has far outpaced virtually every other company in the AI space, both in terms of user adoption and financial scale. By mid-2025, OpenAI's annualized revenue had soared to $10-$13 billion -- up from $3.7 billion in 2024 -- and its projected 2025 revenue of $12.7 billion easily surpasses that of all its major competitors. OpenAI's user growth has also outpaced its rivals. The company said it recently surpassed 700 million weekly active users. This deal with NVIDIA is seen as key to supporting both a surging user base and the resource-intensive workloads required to pursue artificial general intelligence (AGI). As OpenAI's preferred compute and networking partner, NVIDIA will work closely with OpenAI to optimize hardware, software, and model development roadmaps for maximal efficiency and innovation. Also: Report: OpenAI will launch its own AI chip next year The partnership arrives against the backdrop of fierce global competition to build massive AI datacenter capacity. While OpenAI continues to collaborate with cloud giants like Microsoft, Oracle, and SoftBank, the scale of the NVIDIA deployment sets a new benchmark in the industry. With leadership on both sides touting this as only the beginning of a global AI buildout, the OpenAI-NVIDIA alliance is poised to leave a profound mark on AI's future. It's also a move that must concern other AI software companies, since the no-question-about-it leading AI hardware company is now working hand-in-glove with the early AI software leader.

Nvidia is partnering up with OpenAI to offer compute and cash

OpenAI is teaming up with Nvidia via a "strategic partnership" that will get the ChatGPT-maker more compute and more cash to develop new models on the road to superintelligence. The partnership, announced Monday, will allow OpenAI to "build and deploy at least 10 gigawatts of AI datacenters with NVIDIA systems," which translates to millions of GPUs that can help power OpenAI's new models. One of the most important points here, besides more data centers and compute -- which are always in high demand for companies like OpenAI -- is that as part of the deal, NVIDIA "intends to invest up to $100 billion in OpenAI progressively as each gigawatt is deployed," per the release. The details will be finalized in the next few weeks, according to the companies.

Nvidia and OpenAI forge $100 billion alliance to deliver 10 gigawatts of Nvidia hardware for AI datacenters

All of a sudden, the 1.21 gigawatts in Back To The Future aren't impressive anymore. Tech industry giants OpenAI and Nvidia have announced a pivotal partnership, which will deploy 10 gigawatts worth of AI datacenters and $100 billion in investments. OpenAI has committed to creating multiple datacenters with Nvidia as its "preferred strategic compute and networking partner," with the first one expected to deploy in the second half of 2026. The partnership will see OpenAI construct fervently until the total combined power budget of those datacenters reaches "at least" 10 gigawatts. For its part, Nvidia dove into its war chest to secure $100 billion, returning the favor by progressively investing in OpenAI, presumably via share purchases. Additionally, and perhaps most interestingly, both companies commit to "co-optimize" their respective roadmaps. It's not hard to imagine that the hands of Nvidia's AI clients already guide the chipmaker's designs, but this statement could imply that OpenAI will have a bigger say in Nvidia's plans than before. The companies also point out that the new collaboration dovetails nicely with the existing agreements with the likes of Microsoft, Oracle, and SoftBank. OpenAI is already the exclusive AI partner for Microsoft, which promised in January to invest $80 billion in the technology. Meanwhile, OpenAI's Sam Altman remarks that "compute infrastructure will be the basis for the economy of the future", a statement that would seem more like hyperbole a mere two or three years ago. OpenAI's next datacenters will use Nvidia's Vera Rubin platform (and presumably Rubin Ultra), powerful accelerators packing 76 TB of HBM4 memory that should be capable of performing FP4 inference at 3.6 exaflops and FP8 training at 1.2 exaflops. The fact that the "exa" prefix is becoming commonplace is exciting and scary in equal measures. The Rubin GPU and Vera CPUs taped out in late August and are now being manufactured in TSMC facilities. Meanwhile, Rubin Ultra is expected to deliver 15 exaflops of FP4 operations for inference, and 5 exaflops of FP4 for training. These figures come by way of 365 TB of HBM4e memory and 14 GB300 GPUs. To put the 10-gigawatt figure into perspective, a contemporary U.S. nuclear power plant reactor is suitable for around 1 gigawatt, meaning these new datacenters will gobble up 10 reactors' worth of juice to do their thing. That's a concept that's hard to wrap one's head around. While the technological advancement is definitely impressive, it also raises hard questions about its environmental costs.

VIEW Analysts react to Nvidia's $100 billion investment in OpenAI

Sept 22 (Reuters) - Chipmaker Nvidia (NVDA.O), opens new tab is set to invest up to $100 billion in ChatGPT-parent OpenAI, signing a letter of intent for a strategic partnership to deploy at least 10 gigawatts of compute, the companies said on Monday. Nvidia has used its financial clout to keep its hardware central to the buildout of artificial intelligence systems. Keeping OpenAI, which is also exploring its own chip designs, as a key customer could help the company reinforce its dominance as the industry considers rival suppliers. Here are some analyst reactions to the partnership: MATT BRITZMAN, SENIOR EQUITY ANALYST, HARGREAVES LANSDOWN "For Nvidia, the prize is huge -- every gigawatt of AI data centre capacity is worth about $50 billion in revenue, meaning this project could be worth as much as $500 billion. "By locking in OpenAI as a strategic partner and co-optimizing hardware and software roadmaps, Nvidia is ensuring its GPUs remain the backbone of next-gen AI infrastructure. "The market is clearly big enough for multiple players, but this deal underscores that, when it comes to scale and ecosystem depth, Nvidia is still setting the pace -- and raising the stakes for everyone else." JACOB BOURNE, TECHNOLOGY ANALYST, EMARKETER "Demand for Nvidia GPUs is effectively baked into the development of frontier AI models, and deals like this should also ease concerns about lost sales in China. "It also throws cold water on the idea that rival chipmakers or in-house silicon from the Big Tech platforms are anywhere close to disrupting Nvidia's lead. "For OpenAI, it signals greater independence as it continues diversifying away from its Microsoft partnership and races to develop its next-generation models." ANSHEL SAG, PRINCIPAL ANALYST, MOOR INSIGHTS & STRATEGY "I think this strengthens the partnership between the two companies that has existed since the beginning of OpenAI's existence. This also validates Nvidia's long-term growth numbers with so much volume and compute capacity, also enabling OpenAI to scale to even bigger customers." BEN BAJARIN, CEO OF TECHNOLOGY CONSULTING FIRM CREATIVE STRATEGIES "Really the point Nvidia was making was that it's just enabling OpenAI to meet surging demand and, at this point, we know there's surging demand for Nvidia GPUs, because that's primarily what OpenAI runs on." Reporting by Juby Babu in Mexico City, Kritika Lamba and Arsheeya Bajwa in Bengaluru; Editing by Alan Barona Our Standards: The Thomson Reuters Trust Principles., opens new tab

Nvidia to invest up to $100bn in OpenAI

Nvidia on Monday said it planned to invest up to $100bn in OpenAI as part of a "landmark strategic partnership" to support a massive build-out of data centres for artificial intelligence. OpenAI said it plans to buy millions of Nvidia's AI processors as part of the deal, the two companies said, in a move that could ultimately generate hundreds of billions of dollars in revenue for the US chipmaker. The groups did not specify a long-term timeframe for the deployment. Nvidia plans to buy equity in OpenAI progressively over time as its systems are deployed. The investment will be made in cash, said one person familiar with the deal. Nvidia's shares rose nearly 3 per cent on the announcement. The infrastructure deal, the first phase of which is planned to come online in the second half of 2026, will deploy Nvidia's next-generation "Vera Rubin" chip system, the successor to its current generation Blackwell technology. "Everything starts with compute," said Sam Altman, chief executive of OpenAI. "Compute infrastructure will be the basis for the economy of the future, and we will utilise what we're building with Nvidia to both create new AI breakthroughs and empower people and businesses with them at scale." Jensen Huang, Nvidia chief executive, called the investment and infrastructure partnership "the next leap forward" in AI. The announcement follows Huang and Altman's trip last week to the UK, where they accompanied US President Donald Trump on his state visit to announce major AI infrastructure plans.

Nvidia to invest $100 billion in OpenAI to help expand the ChatGPT maker's computing power

Chipmaker Nvidia will invest $100 billion in OpenAI as part of a partnership announced Monday that will add at least 10 gigawatts of Nvidia AI data centers to ramp up the computing power for the owner of the artificial intelligence chatbot ChatGPT. Per the letter of intent signed by the companies, the first gigawatt of Nvidia systems will be deployed in the second half of 2026. Nvidia and OpenAI said they would be finalizing the details of the arrangement in the coming weeks. "This partnership complements the deep work OpenAI and Nvidia are already doing with a broad network of collaborators, including Microsoft, Oracle, SoftBank and Stargate partners, focused on building the world's most advanced AI infrastructure," the companies said in a release. The Nvidia-OpenAI partnership comes about 10 days after OpenAI said it had reached a new tentative agreement that will give Microsoft a $100 billion equity stake in its for-profit corporation. OpenAI is technically controlled by its nonprofit. OpenAI was founded as a nonprofit in 2015 and its nonprofit board has continued to control the for-profit subsidiary that now develops and sells its AI products. OpenAI's corporate structure and nonprofit mission are the subject of a lawsuit brought by Elon Musk, who helped found the nonprofit research lab and provided initial funding. Musk's suit seeks to stop OpenAI from taking control of the company away from its nonprofit and alleges it has betrayed its promise to develop AI for the benefit of humanity. Earlier this month, the attorneys general of California and Delaware warned OpenAI that they have "serious concerns" about the safety of ChatGPT, especially for children and teens. The two state officials, who have unique powers to regulate nonprofits such as OpenAI, noted "deeply troubling reports of dangerous interactions between" chatbots and their users, including the suicide of one young Californian after he had prolonged interactions with an OpenAI chatbot. The parents of the 16-year-old California boy, who died in April, sued OpenAI and its CEO, Sam Altman, last month. OpenAI says it has 700 million weekly active users. Also, just last week Nvidia announced that it was investing $5 billion in fellow chipmaker Intel, which has struggled to keep up with the frenzied demand for artificial intelligence.

NVIDIA is investing up to $100 billion in OpenAI to build 10 gigawatts of AI data centers

NVIDIA will invest up to $100 billion in OpenAI as the ChatGPT maker sets out to build at least 10 gigawatts of AI data centers using NVIDIA chips and systems. The strategic partnership is gargantuan in scale. The 10-gigawatt buildout will require millions of NVIDIA GPUs to run OpenAI's next-generation models. NVIDIA's investment will be doled out progressively as each gigawatt comes online. The first phase of this plan is expected to come online in the second half of 2026, and will be built on NVIDIA's Vera Rubin platform, which NVIDIA CEO will be a "big, big, huge step up," over the current-gen Blackwell chips. "NVIDIA and OpenAI have pushed each other for a decade, from the first DGX supercomputer to the breakthrough of ChatGPT," said Jensen Huang in a announcing the letter of the intent for the partnership. "Compute infrastructure will be the basis for the economy of the future, and we will utilize what we're building with NVIDIA to both create new AI breakthroughs and empower people and businesses with them at scale," said Sam Altman, CEO of OpenAI. NVIDIA has made a number of strategic investments lately, including in Intel, shortly after the took a 10 percent stake in the American chipmaker. The company also recently to license AI technology from startup Enfabrica and hire its CEO and other key employees. OpenAI has also formed other strategic partnerships over the last few years, including a somewhat complicated . This summer it struck a to build out 4.5 gigawatts of data center capacity using more than 2 million Oracle chips. That deal was part of , the strategic partnership between SoftBank, OpenAI, NVIDIA, Oracle, Arm and Microsoft with a promise to spend $500 billion in the US on AI infrastructure.

Nvidia plans to invest up to $100 billion in OpenAI as part of data center buildout

Nvidia will invest $100 billion in OpenAI as the artificial intelligence lab sets out to build hundreds of billions of dollars in data centers based around Nvidia's AI chips, the companies said on Monday. OpenAI plans to build and deploy Nvidia systems that require 10 gigawatts of power, the companies said on Monday. A gigawatt is a measure of power that is increasingly being used to describe the biggest clusters of AI chips. Nvidia stock rose 3% during trading on Monday. The partnership highlights how linked OpenAI and Nvidia are as two of the biggest drivers of the recent artificial intelligence boom. Demand for Nvidia's GPUs first started rising when OpenAI first released ChatGPT in 2022, and OpenAI still relies on Nvidia's AI chips, called GPUs, to develop its software and deploy it to users. It also signals just how many Nvidia chips OpenAI will need in order to develop next-generation artificial intelligence that can do more than its current models. It also suggests that OpenAI will need increasing amounts of chips to serve its users, and said it had 700 million active weekly users on Monday. "This is monumental in size," CEO Jensen Huang told CNBC's Jon Fortt in an interview in San Jose on Monday alongside OpenAI CEO Sam Altman and OpenAI president Greg Brockman. "You should expect a lot from us in the coming months," OpenAI CEO Sam Altman said. "There are three things that OpenAI has to do well: we have to do great Ai research, we have to make these products people want to use, and we have to figure out how to do this unprecedented infrastructure challenge."

Nvidia to invest $100bn in OpenAI, firm behind ChatGPT

US tech giant Nvidia will invest up to $100bn (£73bn) in OpenAI, the firm behind ChatGPT, the companies announced. Nvidia said it will supply high-performance chips needed for the processing power required by artificial intelligence (AI), of which OpenAI is a specialist. It is the latest move in an escalating race between global tech firms trying to get ahead in the AI sector, where China is an emerging rival. The announcement comes after a series of high-profile investments by Nvidia, including a $5bn investment in Intel and a £2bn investment in the UK's AI sector.

NVIDIA, OpenAI Announce 'the Biggest AI Infrastructure Deployment in History'

NVIDIA CEO Jensen Huang, OpenAI CEO Sam Altman and OpenAI President Greg Brockman described a new strategic partnership to fuel OpenAI's growth -- and enable AI at scale for virtually every industry and user. OpenAI and NVIDIA just announced a landmark AI infrastructure partnership -- an initiative that will scale OpenAI's compute with multi-gigawatt data centers powered by millions of NVIDIA GPUs. To discuss what this means for the next generation of AI development and deployment, the two companies' CEOs, and the president of OpenAI, spoke this morning with CNBC's Jon Fortt. "This is the biggest AI infrastructure project in history," said NVIDIA founder and CEO Jensen Huang in the interview. "This partnership is about building an AI infrastructure that enables AI to go from the labs into the world." Through the partnership, OpenAI will deploy at least 10 gigawatts of NVIDIA systems for OpenAI's next-generation AI infrastructure, including the NVIDIA Vera Rubin platform. NVIDIA also intends to invest up to $100 billion in OpenAI progressively as each gigawatt is deployed. "There's no partner but NVIDIA that can do this at this kind of scale, at this kind of speed," said Sam Altman, CEO of OpenAI. The million-GPU AI factories built through this agreement will help OpenAI meet the training and inference demands of its next frontier of AI models. "Building this infrastructure is critical to everything we want to do," Altman said. "This is the fuel that we need to drive improvement, drive better models, drive revenue, drive everything." Since the launch of OpenAI's ChatGPT -- which in 2022 became the fastest application in history to reach 100 million users -- the company has grown its user base to more than 700 million weekly active users and delivered increasingly advanced capabilities, including support for agentic AI, AI reasoning, multimodal data and longer context windows. To support its next phase of growth, the company's AI infrastructure must scale up to meet not only training but inference demands of the most advanced models for agentic and reasoning AI users worldwide. "The cost per unit of intelligence will keep falling and falling and falling, and we think that's great," said Altman. "But on the other side, the frontier of AI, maximum intellectual capability, is going up and up. And that enables more and more use -- and a lot of it." Without enough computational resources, Altman explained, people would have to choose between impactful use cases, for example either researching a cancer cure or offering free education. "No one wants to make that choice," he said. "And so increasingly, as we see this, the answer is just much more capacity so that we can serve the massive need and opportunity." The first gigawatt of NVIDIA systems built with NVIDIA Vera Rubin GPUs will generate their first tokens in the second half of 2026. The partnership expands on a long-standing collaboration between NVIDIA and OpenAI, which began with Huang hand-delivering the first NVIDIA DGX system to the company in 2016. "This is a billion times more computational power than that initial server," said Greg Brockman, president of OpenAI. "We're able to actually create new breakthroughs, new models...to empower every individual and business because we'll be able to reach the next level of scale." Huang emphasized that though this is the start of a massive buildout of AI infrastructure around the world, it's just the beginning. "We're literally going to connect intelligence to every application, to every use case, to every device -- and we're just at the beginning," Huang said. "This is the first 10 gigawatts, I assure you of that."

Nvidia to invest $100 billion in OpenAI

Sept 22 (Reuters) - Chipmaker Nvidia (NVDA.O), opens new tab plans to invest up to $100 billion in artificial intelligence startup OpenAI under a new agreement, the companies said on Monday, as competition intensifies among technology giants to secure access to energy and chips needed for AI growth. The companies unveiled a letter of intent for a landmark strategic partnership to deploy at least 10 gigawatts of Nvidia chips for OpenAI's AI infrastructure. They aim to finalize partnership details in the coming weeks, with the first deployment phase targeted to come online in the second half of 2026 "Everything starts with compute," Sam Altman, CEO of OpenAI said in a release. "Compute infrastructure will be the basis for the economy of the future, and we will utilize what we're building with Nvidia to both create new AI breakthroughs and empower people and businesses with them at scale." Shares of Oracle (ORCL.N), opens new tab, a partner with OpenAI, SoftBank (9434.T), opens new tab, and Microsoft (MSFT.O), opens new tab on the $500 billion Stargate AI data center project, gained nearly 5%. Nvidia's investment comes days after it committed $5 billion to struggling chipmaker Intel (INTC.O), opens new tab. Reporting by Arsheeya Bajwa in Bengaluru; Editing by Tasim Zahid Our Standards: The Thomson Reuters Trust Principles., opens new tab

NVIDIA investing $100B in OpenAI data centers for next-gen AI

NVIDIA CEO Jensen Huang called the collaboration the "next leap forward" for both companies. "NVIDIA and OpenAI have pushed each other for a decade, from the first DGX supercomputer to the breakthrough of ChatGPT," Huang said. "This investment and infrastructure partnership mark the next leap forward -- deploying 10 gigawatts to power the next era of intelligence." Huang told CNBC that the 10 gigawatts translates to between 4 million and 5 million GPUs. That equals the number of chips NVIDIA expects to ship this year and represents twice as much as last year. "This is a giant project," he said. NVIDIA shares rose 3% on Monday after the announcement. Analysts described the investment as both "monumental in size" and a clear sign of how closely the companies are tied. OpenAI CEO Sam Altman underscored how compute remains central to the company's mission. "Everything starts with compute," Altman said. "Compute infrastructure will be the basis for the economy of the future, and we will utilize what we're building with NVIDIA to both create new AI breakthroughs and empower people and businesses with them at scale."

Nvidia to invest $100B in ChatGPT creator OpenAI

Why it matters: Nvidia is the world's most valuable company, with a dominant position in the chips powering the AI revolution, and OpenAI is the innovating force behind market leader ChatGPT. Driving the news: The deal calls for the $4 trillion chip giant to deliver the funds in stages, enabling OpenAI to "build and deploy at least 10 gigawatts of AI data centers with Nvidia systems." * Nvidia called it a "strategic partnership" and said it would allow OpenAI to "train and run its next generation of models on the path to deploying superintelligence." * The company said the first phase of systems will come online in the second half of 2026 using Nvidia's next-generation Vera Rubin chips. What they're saying: "Nvidia and OpenAI have pushed each other for a decade, from the first DGX supercomputer to the breakthrough of ChatGPT," Nvidia CEO Jensen Huang said in a statement. "This investment and infrastructure partnership mark the next leap forward -- deploying 10 gigawatts to power the next era of intelligence." * "Everything starts with compute," OpenAI CEO Sam Altman said in a statement. "Compute infrastructure will be the basis for the economy of the future, and we will utilize what we're building with Nvidia to both create new AI breakthroughs and empower people and businesses with them at scale." Zoom in: Nvidia said the companies plan to work together to "co-optimize their roadmaps." * They described their deal as a complementary to OpenAI's relationship with other collaborators, including Microsoft, Oracle, SoftBank and Stargate.

Nvidia to invest $100bn in OpenAI, bringing the two AI firms together

Deal will involve two transactions - OpenAI will pay Nvidia for chips, and the chipmaker will invest in the AI start-up Nvidia, the chipmaking company, will invest up to $100bn in OpenAI and provide it with data center chips, the companies said on Monday, a tie-up between two of the highest-profile leaders in the global artificial intelligence race. The deal, which will see Nvidia start delivering chips as soon as late 2026, will involve two separate but intertwined transactions, according to a person close to OpenAI. The startup will pay Nvidia in cash for chips, and Nvidia will invest in OpenAI for non-controlling shares, the person said. The first $10bn of Nvidia's investment in OpenAI, which was most recently valued at $500bn, will begin when the two companies reach a definitive agreement for OpenAI to purchase Nvidia chips. Nvidia previously funded OpenAI with a $6.6bn investment. The ChatGPT maker has pledged 49% of its profits to Microsoft after a $13bn investment made in 2023. OpenAI is in the midst of a long and much-litigated process to convert to a for-profit entity. The companies unveiled a letter of intent for a landmark strategic partnership to deploy at least 10GW of Nvidia chips for OpenAI's AI infrastructure. "Everything starts with compute," Sam Altman, CEO of OpenAI, said in a release. "Compute infrastructure will be the basis for the economy of the future, and we will utilize what we're building with Nvidia to both create new AI breakthroughs and empower people and businesses with them at scale." Altman has said in the past that his company is constrained by how much computing power it can access, most often measured in the number of graphics processing units, or GPUs, that allow artificial intelligence products to answer users' queries. They aim to finalize partnership details in the coming weeks, with the first deployment phase targeted to come online in the second half of 2026. Nvidia's investment comes just days after it committed $5bn to struggling chipmaker Intel. Nvidia, the most valuable company in the world at a $4tn market capitalization, is seen as a leader in artificial intelligence by dint of its cutting-edge chips.

Nvidia to back OpenAI with staged $100 billion investment

Nvidia just put real money behind its favorite metaphor. After two years of calling modern data centers "AI factories," the chipmaker is going all-in with chips -- and cash -- to help build them. Today, Nvidia and OpenAI announced that the chipmaker plans to invest up to $100 billion in OpenAI through a staged partnership that doesn't just guarantee the startup first dibs on the world's most coveted GPUs -- it effectively makes Nvidia a co-builder of the infrastructure that will power the next wave of artificial intelligence. Nvidia will pour in money gigawatt by gigawatt as OpenAI builds data centers stocked with millions of its chips. The first of those, running on Nvidia's coming Vera Rubin platform, is slated to switch on in the second half of 2026. By the time the build-out hits 10 gigawatts -- about the output of several nuclear reactors -- OpenAI will be operating the kind of compute grid that is usually reserved for national utilities. The deal is part supplier agreement, part financing package -- and has a moat big enough to make rivals sweat. This isn't a one-time wire; it's a letter-of-intent to invest progressively as each gigawatt is deployed -- money that shows up when concrete, power, racks, and GPUs do. In return, OpenAI names Nvidia its preferred strategic compute and networking partner, aligning hardware and software roadmaps so that model releases and silicon arrive in lockstep.

Nvidia to invest $100 billion in OpenAI to help expand the ChatGPT maker's computing power

Chipmaker Nvidia will invest $100 billion in OpenAI as part of a partnership announced Monday that will add at least 10 gigawatts of Nvidia AI data centers to ramp up the computing power for the owner of the artificial intelligence chatbot ChatGPT. Per the letter of intent signed by the companies, the first gigawatt of Nvidia systems will be deployed in the second half of 2026. Nvidia and OpenAI said they would be finalizing the details of the arrangement in the coming weeks. "This partnership complements the deep work OpenAI and Nvidia are already doing with a broad network of collaborators, including Microsoft, Oracle, SoftBank and Stargate partners, focused on building the world's most advanced AI infrastructure," the companies said in a release. Those companies pledged to invest at least $100 billion in building data centers for OpenAI in January. The Nvidia-OpenAI partnership also comes about 10 days after OpenAI said it had reached a new tentative agreement that will give Microsoft a $100 billion equity stake in its for-profit corporation. OpenAI is technically controlled by its nonprofit. Speaking on CNBC, OpenAI CEO Sam Altman said the new data centers that Nvidia will build are in addition to the previously announced projects. "Building this infrastructure is critical to everything we want to do," Altman said. "Without doing this, we cannot deliver the services people want. We can't keep making better models." He said both Nvidia and Microsoft are "passive investors," and OpenAI's nonprofit and board controls the company. OpenAI was founded as a nonprofit in 2015 and its nonprofit board has continued to control the for-profit subsidiary that now develops and sells its AI products. OpenAI's corporate structure and nonprofit mission are the subject of a lawsuit brought by Elon Musk, who helped found the nonprofit research lab and provided initial funding. Musk's suit seeks to stop OpenAI from taking control of the company away from its nonprofit and alleges it has betrayed its promise to develop AI for the benefit of humanity. Earlier this month, the attorneys general of California and Delaware warned OpenAI that they have "serious concerns" about the safety of ChatGPT, especially for children and teens. The two state officials, who have unique powers to regulate nonprofits such as OpenAI, noted "deeply troubling reports of dangerous interactions between" chatbots and their users, including the suicide of one young Californian after he had prolonged interactions with an OpenAI chatbot. The parents of the 16-year-old California boy, who died in April, sued OpenAI and its CEO, Sam Altman, last month. OpenAI says it has 700 million weekly active users. Also, just last week Nvidia announced that it was investing $5 billion in fellow chipmaker Intel, which has struggled to keep up with the frenzied demand for artificial intelligence.

Chipmaker Nvidia to invest up to $100 billion in OpenAI

OpenAI Ceo Sam Altman and Nvidia CEO Jensen Huang. Getty Images ChapGPT parent OpenAI is set to receive up to $100 billion in investments from chip giant Nvidia, helping cement the two firms as leaders in the race to build artificial intelligence systems that could transform the economy and society. The companies said the move will enable OpenAI to expand the fleet of data centers it needs to power ChatGPT, which in August hit 700 million weekly global users. It will require the buildout of 10 gigawatts of power, equivalent to the amount consumed by about eight million homes. No specific timetable for the buildout was announced. "This is a giant project," Nvidia CEO Jensen Huang said in a joint appearance on CNBC alongside OpenAI CEO Sam Altman and Greg Brockman, the company's president. Altman said the investment represents a bet that the current capacities of its AI products -- and the financial returns to them -- can be significantly improved. "There are three things that OpenAI has to do well. We have to do great AI research. We have to make these products people want to use. And we have to figure out how to do this unprecedented infrastructure challenge," he said. The news also pushed stocks to fresh highs, despite growing evidence of a broader economic slowdown. Shares in Nvidia climbed more than 3% -- equivalent to about $200 billion -- on the announcement, adding to its lead as the world's most valuable publicly traded company, now worth nearly $4.5 trillion. The S&P 500 climbed more than 0.3% in Monday trading as it touched a fresh all-time high. The Dow Jones Industrial Average gained about 0.1%, while the tech-heavy Nasdaq jumped 0.6%. AI bets have continued to fuel investors' appetite for stocks even as signs of economic stress mount. The Federal Reserve announced its first rate cut of 2025 last week amid growing indications of a weakening jobs picture. "The labor market is really cooling off," Fed Chair Jerome Powell said.

Nvidia to invest up to $100 bn in OpenAI data centers

San Francisco (United States) (AFP) - Nvidia said Monday it will invest up to $100 billion in OpenAI, building infrastructure for next-generation artificial intelligence. The strategic partnership aimed at deploying massive data center capacity unites generative AI star OpenAI with the leading maker of chips powering the technology. "Compute infrastructure will be the basis for the economy of the future," OpenAI chief executive Sam Altman said in a joint release. "We will utilize what we're building with NVIDIA to both create new AI breakthroughs and empower people and businesses with them at scale." The partnership will enable San Francisco-based OpenAI to build and deploy AI data centers with Nvidia systems, representing millions of sophisticated graphics processing units (GPUs), according to the companies. The first Nvidia systems are expected to be operating in the second half of next year. OpenAI and Nvidia added that they will work together to optimize how the companies' hardware and software complement each other. No financial details were provided beyond the possible magnitude of Nvidia's investment in OpenAI. Tech industry rivals Amazon, Google, Meta, Microsoft and Elon Musk's xAI have been pouring billions of dollars into artificial intelligence since the blockbuster launch of the first version of ChatGPT in late 2022. Nvidia has become a coveted source of high-performance GPUS tailored for generative AI. Chinese startup DeepSeek shook up the AI sector early this year with a model that delivers high performance using less costly chips. Silicon Valley-based Nvidia last week announced it would invest $5 billion in struggling chip rival Intel. The investment represents a significant commitment to Intel's turnaround efforts. Nvidia joined Japanese investment giant SoftBank and the US government in backing the once-dominant chipmaker, which has fallen behind in recent years after missing key technology shifts. Nvidia's GPUs, originally designed for gaming systems, have become the essential building blocks of artificial intelligence applications, with tech giants scrambling to secure them for their data centers and AI projects. OpenAI released a keenly awaited new generation of its hallmark ChatGPT last month, touting significant advancements in artificial intelligence capabilities as a global race over the technology accelerates. ChatGPT-5 was made available free to the more than 700 million who use the AI tool weekly, according to OpenAI.

Nvidia to invest $100 billion in OpenAI

Chipmaker Nvidia will invest up to $100 billion in OpenAI and provide it with data center chips, the companies said on Monday, a tie-up between two of the highest-profile leaders in the global artificial intelligence race. The deal, which will see Nvidia start delivering chips as soon as late 2026, will involve two separate but intertwined transactions, according to a person close to OpenAI. The startup will pay Nvidia in cash for chips, and Nvidia will invest in OpenAI for non-controlling shares, the person said. The first $10 billion of Nvidia's investment in OpenAI, which was most recently valued at $500 billion, will begin when the two companies reach a definitive agreement for OpenAI to purchase Nvidia chips

OpenAI, NVIDIA Sign $100 Billion Deal to Deploy 10 GW of AI Systems

The first gigawatt of capacity is scheduled for deployment in the second half of 2026 on NVIDIA's Vera Rubin platform. OpenAI and NVIDIA on Monday signed a letter of intent for a strategic partnership to deploy at least 10 gigawatts of NVIDIA systems for OpenAI's next-generation AI infrastructure. The agreement includes NVIDIA investing up to $100 billion in OpenAI, tied to each gigawatt of systems deployed. The first gigawatt of capacity is scheduled for deployment in the second half of 2026 on NVIDIA's Vera Rubin platform. "NVIDIA and OpenAI have pushed each other for a decade, from the first DGX supercomputer to the breakthrough of ChatGPT," said Jensen Huang, founder and CEO of NVIDIA. "This investment and infrastructure partnership mark the next leap forward -- deploying 10 gigawatts to power the next era of intelligence." "Everything starts with compute," said Sam Altman, co-founder and CEO of OpenAI. "Compute infrastructure will be the basis for the economy of the future, and we will utilise what we're building with NVIDIA to both create new AI breakthroughs and empower people and businesses with them at scale." Earlier, Altman said the company will soon roll out new compute-intensive offerings, noting that some of the features will initially be limited to Pro subscribers and certain products may come with additional fees. "Our intention remains to drive the cost of intelligence down as aggressively as we can and make our services widely available," Altman said on X. He added that OpenAI aims to test the limits of current models by applying significant compute power to new ideas, even at today's costs. "We've utilised their platform to create AI systems that hundreds of millions of people use every day. We're excited to deploy 10 gigawatts of compute with NVIDIA to push back the frontier of intelligence and scale the benefits of this technology to everyone," said Greg Brockman, co-founder and president of OpenAI. As part of the agreement, OpenAI will use NVIDIA as a preferred compute and networking partner for its AI factory growth. Both companies will coordinate their hardware and software roadmaps to support future model development and infrastructure. The partnership builds on OpenAI and NVIDIA's existing collaborations with Microsoft, Oracle, SoftBank, and Stargate partners, which are focused on building advanced AI infrastructure. OpenAI currently reports over 700 million weekly active users, with adoption spanning enterprises, small businesses, and developers worldwide. The companies said this new agreement will support OpenAI's mission to develop artificial general intelligence that benefits humanity.

Nvidia to invest $100B in OpenAI to help expand ChatGPT maker's computing power

Partnership will add at least 10 gigawatts of Nvidia AI data centers. Chipmaker Nvidia will invest $100 billion in OpenAI as part of a partnership announced Monday that will add at least 10 gigawatts of Nvidia AI data centers to ramp up the computing power for the owner of the artificial intelligence chatbot ChatGPT. Per the letter of intent signed by the companies, the first gigawatt of Nvidia systems will be deployed in the second half of 2026. Nvidia and OpenAI said they would be finalizing the details of the arrangement in the coming weeks. "This partnership complements the deep work OpenAI and Nvidia are already doing with a broad network of collaborators, including Microsoft, Oracle, SoftBank and Stargate partners, focused on building the world's most advanced AI infrastructure," the companies said in a release. The Nvidia-OpenAI partnership comes about 10 days after OpenAI said it had reached a new tentative agreement that will give Microsoft a $100 billion equity stake in its for-profit corporation. OpenAI is technically controlled by its nonprofit. OpenAI was founded as a nonprofit in 2015 and its nonprofit board has continued to control the for-profit subsidiary that now develops and sells its AI products. OpenAI's corporate structure and nonprofit mission are the subject of a lawsuit brought by Elon Musk, who helped found the nonprofit research lab and provided initial funding. Musk's suit seeks to stop OpenAI from taking control of the company away from its nonprofit and alleges it has betrayed its promise to develop AI for the benefit of humanity. Earlier this month, the attorneys general of California and Delaware warned OpenAI that they have "serious concerns" about the safety of ChatGPT, especially for children and teens. The two state officials, who have unique powers to regulate nonprofits such as OpenAI, noted "deeply troubling reports of dangerous interactions between" chatbots and their users, including the suicide of one young Californian after he had prolonged interactions with an OpenAI chatbot. The parents of the 16-year-old California boy, who died in April, sued OpenAI and its CEO, Sam Altman, last month. OpenAI says it has 700 million weekly active users. Also, just last week Nvidia announced that it was investing $5 billion in fellow chipmaker Intel, which has struggled to keep up with the frenzied demand for artificial intelligence.

Nvidia to invest $100 billion in OpenAI to help expand the ChatGPT maker's computing power

Chipmaker Nvidia will invest $100 billion in OpenAI as part of a partnership announced Monday that will add at least 10 gigawatts of Nvidia AI data centers to ramp up the computing power for the owner of the artificial intelligence chatbot ChatGPT. Per the letter of intent signed by the companies, the first gigawatt of Nvidia systems will be deployed in the second half of 2026. Nvidia and OpenAI said they would be finalizing the details of the arrangement in the coming weeks. "This partnership complements the deep work OpenAI and Nvidia are already doing with a broad network of collaborators, including Microsoft, Oracle, SoftBank and Stargate partners, focused on building the world's most advanced AI infrastructure," the companies said in a release. The Nvidia-OpenAI partnership comes about 10 days after OpenAI said it had reached a new tentative agreement that will give Microsoft a $100 billion equity stake in its for-profit corporation. OpenAI is technically controlled by its nonprofit. OpenAI was founded as a nonprofit in 2015 and its nonprofit board has continued to control the for-profit subsidiary that now develops and sells its AI products. OpenAI's corporate structure and nonprofit mission are the subject of a lawsuit brought by Elon Musk, who helped found the nonprofit research lab and provided initial funding. Musk's suit seeks to stop OpenAI from taking control of the company away from its nonprofit and alleges it has betrayed its promise to develop AI for the benefit of humanity. Earlier this month, the attorneys general of California and Delaware warned OpenAI that they have "serious concerns" about the safety of ChatGPT, especially for children and teens. The two state officials, who have unique powers to regulate nonprofits such as OpenAI, noted "deeply troubling reports of dangerous interactions between" chatbots and their users, including the suicide of one young Californian after he had prolonged interactions with an OpenAI chatbot. The parents of the 16-year-old California boy, who died in April, sued OpenAI and its CEO, Sam Altman, last month. OpenAI says it has 700 million weekly active users. Also, just last week Nvidia announced that it was investing $5 billion in fellow chipmaker Intel, which has struggled to keep up with the frenzied demand for artificial intelligence.

Nvidia Is Investing $100 Billion in OpenAI as AI Datacenter Competition Grows

Chipmaker Nvidia will invest up to $100 billion in OpenAI and provide it with data center chips, the companies said on Monday, a tie-up between two of the highest-profile leaders in the global artificial intelligence race. The deal, which will see Nvidia start delivering chips as soon as late 2026, will involve two separate but intertwined transactions, according to a person close to OpenAI. The startup will pay Nvidia in cash for chips, and Nvidia will invest in OpenAI for non-controlling shares, the person said. The first $10 billion of Nvidia's investment in OpenAI, which was most recently valued at $500 billion, will begin when the two companies reach a definitive agreement for OpenAI to purchase Nvidia chips Nvidia did not respond to immediate requests for clarification about the deal. The pact is among a spate of agreements between major technology players that includes years of investment in OpenAI from Microsoft and a deal last week between Nvidia and Intel to collaborate on AI chips. The two companies signed a letter of intent for a landmark strategic partnership to deploy at least 10 gigawatts of Nvidia chips for OpenAI's AI infrastructure. They aim to finalize partnership details in the coming weeks, with the first deployment phase targeted to come online in the second half of 2026. "Everything starts with compute," OpenAI CEO Sam Altman said in a statement. "Compute infrastructure will be the basis for the economy of the future, and we will utilize what we're building with Nvidia to both create new AI breakthroughs and empower people and businesses with them at scale." Nvidia shares were up 4.4 percent while shares of Oracle, which partners with OpenAI, SoftBank and Microsoft on the $500 billion Stargate AI data center project, gained nearly 5 percent. Nvidia's investment comes days after it committed $5 billion to struggling chipmaker Intel. OpenAI and its backer, Microsoft, also announced earlier this month that they have signed a non-binding deal for new relationship terms that would allow for OpenAI's restructuring into a for-profit company. Nvidia also backed OpenAI in a $6.6 billion funding round in October 2024. However, the world's most valuable firm making another sizeable investment in OpenAI could lead to antitrust scrutiny. The Trump administration has taken a much lighter touch on competition issues compared with former President Joe Biden's antitrust enforcers. In June 2024 the Justice Department and the Federal Trade Commission reached a deal that cleared the way for potential antitrust investigations into the dominant roles that Microsoft, OpenAI and Nvidia play in the artificial intelligence industry. Reporting by Arsheeya Bajwa in Bengaluru and Deepa Seetharaman and Stephen Nellis in San Francisco; Editing by Tasim Zahid and Anil D'Silva.

Nvidia Leads Tech Rally With Plans to Invest Up to $100B in ChatGPT Maker OpenAI

Nvidia and OpenAI said they expect to finalize the details of the partnership in the coming weeks. Nvidia and OpenAI's business relationship is entering a new phase. The chipmaker at the heart of the AI boom and world's most valuable company said Monday it plans to invest up to $100 billion in ChatGPT maker OpenAI to build out AI data centers. Nvidia (NVDA) shares jumped over 4% following the news, making the stock one of the best performers in the Dow, Nasdaq, and S&P 500 Monday afternoon. Several Nvidia partners, including Super Micro Computer (SMCI) and Micron Technology (MU), saw their shares rise along with companies that make equipment to manufacture chips, boosting the tech sector. "This investment and infrastructure partnership mark the next leap forward -- deploying 10 gigawatts to power the next era of intelligence," Nvidia CEO Jensen Huang said in a release. Nvidia said the first of those 10 gigawatts is expected to be deployed in the second half of next year, on its next-generation Vera Rubin platform. OpenAI CEO Sam Altmansaid it will use what it's building with Nvidia to "create new AI breakthroughs and empower people and businesses with them at scale." The companies added they expect to finalize the details of the partnership in the coming weeks. With Monday's gains, Nvidia shares have added more than a third of their value since the start of the year.

Nvidia to invest $100 billion in OpenAI to power next-generation AI, NVDA stock hits record high

Nvidia is investing up to $100 billion in OpenAI to build huge AI data centers and power next-generation AI models. The partnership will help OpenAI grow its AI systems and reach more users worldwide. Using Nvidia's advanced chips, OpenAI aims to create new AI technology and expand its role in the global AI economy. Nvidia will invest up to $100 billion in OpenAI to help build huge AI infrastructure. Nvidia is the world's most valuable company and makes chips that power AI. OpenAI is the company behind ChatGPT, a leading AI tool. The deal will provide funds in stages, so OpenAI can build and run at least 10 gigawatts of AI data centers using Nvidia systems. The first phase of this AI infrastructure will start in the second half of 2026 using Nvidia's next-generation Vera Rubin chips, according to the OpenAI Press Release. Nvidia Stock (NVDA) went up 3.9% to $183.52 on Monday after this partnership announcement of its $100 billion investment in OpenAI. Later, NVDA shares rose as much as 4.5% to $184.55, surpassing their previous intraday record of $184.48 on August 12. Nvidia called this a strategic partnership, which will allow OpenAI to train and run next-generation AI models and work toward superintelligence. Nvidia CEO Jensen Huang said, "Nvidia and OpenAI have pushed each other for a decade, from the first DGX supercomputer to ChatGPT. This investment marks the next leap forward -- deploying 10 gigawatts to power the next era of intelligence." OpenAI CEO Sam Altman said, "Everything starts with compute. Compute infrastructure will be the basis for the economy of the future. We will use Nvidia systems to create new AI breakthroughs and help people and businesses at scale", as stated in the OpenAI Press Release. OpenAI President Greg Brockman said they have used Nvidia's platform to create AI systems used by hundreds of millions of people, and deploying 10 gigawatts of compute will push the frontier of intelligence. OpenAI will make Nvidia its preferred strategic compute and networking partner for future AI factory growth. Nvidia and OpenAI will co-optimize their roadmaps, meaning OpenAI's AI models and software will work efficiently with Nvidia's hardware and software. This partnership complements OpenAI's work with other collaborators, including Microsoft, Oracle, SoftBank, and Stargate. OpenAI now has over 700 million weekly active users and is widely used by global enterprises, small businesses, and developers. The companies plan to finalize the details of the partnership in the coming weeks. The investment and partnership aim to power the next generation of AI, strengthen OpenAI's mission to develop AI that benefits humanity, and expand Nvidia's influence in the AI economy, as mentioned by OpenAI Press Release. Q1. How much is Nvidia investing in OpenAI? Nvidia is investing up to $100 billion to help OpenAI build huge AI infrastructure. Q2. What will OpenAI do with Nvidia's AI systems? OpenAI will use Nvidia's systems to run 10 gigawatts of AI data centers and train next-generation AI models. (You can now subscribe to our Economic Times WhatsApp channel)

Nvidia Stock Climbs On $100 Billion Deal To Supercharge OpenAI - NVIDIA (NASDAQ:NVDA)

Nvidia Corp. NVDA and OpenAI on Monday announced a new deal to deploy at least 10 gigawatts of Nvidia-powered systems to support OpenAI's next-generation AI infrastructure. NVDA stock climbed on the news. See the chart here. Nvidia has pledged to invest up to $100 billion in the AI infrastructure rollout, with the first phase expected to launch in the second half of 2026. Read More: Snap Stock Goes Full Meme -- Buyout Rumors Meet Retail's Roar OpenAI CEO Sam Altman said the infrastructure buildout is critical to meeting the AI company's future goals. "There are three things that OpenAI has to do well: we have to do great AI research, we have to make these products people want to use, and we have to figure out how to do this unprecedented infrastructure challenge," Altman told CNBC. "You should expect a lot from us in the coming months," he added. Nvidia CEO Jensen Huang elaborated on just how large the deal is by explaining that 10 gigawatts of infrastructure is equivalent to between 4 million and 5 million GPUs -- the same amount Nvidia expects to ship in 2025 and about double its output from last year. "This is a giant project," Huang said. He also told CNBC that the newly announced deal is "additive" to all other projects and deals, including the Stargate project and previous commitments with OpenAI. Hargreaves Lansdown analyst Matt Britzman weighed in. "For Nvidia, the prize is huge -- every gigawatt of AI data centre capacity is worth about $50 billion in revenue, meaning this project could be worth as much as $500 billion," Britzman said, per Reuters. NVDA Price Action: Nvidia stock climbed to nearly 52-week highs after the announcement and ended Monday's session up 3.93% at $183.61, according to Benzinga Pro. Read Next: Quantum Stocks Boom As IonQ, Rigetti Join Government Initiatives Photo: Shutterstock NVDANVIDIA Corp$183.033.60%OverviewMarket News and Data brought to you by Benzinga APIs

Microsoft-Backed OpenAI Would Get $100B In Nvidia Data Center Deal

'This investment and infrastructure partnership mark the next leap forward -- deploying 10 gigawatts to power the next era of intelligence,' Nvidia CEO Jensen Huang said. Microsoft-backed artificial intelligence model company OpenAI is finalizing a deal with Nvidia to receive up to $100 billion in investment as the two plan to deploy at least 10 gigawatts of AI data centers. San Francisco-based OpenAI will receive the funds progressively as each gigawatt deploys, according to statements the companies published Monday. The companies expect to finalize the details in the coming weeks. The first gigawatt should deploy in the second half of 2026 on Santa Clara, Calif.-based Nvidia's Vera Rubin platform. "Nvidia and OpenAI have pushed each other for a decade, from the first DGX supercomputer to the breakthrough of ChatGPT," Jensen Huang, founder and CEO of Nvidia, said in a statement Monday. "This investment and infrastructure partnership mark the next leap forward -- deploying 10 gigawatts to power the next era of intelligence." [RELATED: Microsoft Unveils 'World's Most Powerful AI Datacenter,' President Brad Smith Says] Nvidia, OpenAI Partnership CRN has reached out to Nvidia, OpenAI and Microsoft for comment. OpenAI co-founder and CEO Sam Altman added in a statement Monday that "compute infrastructure will be the basis for the economy of the future, and we will utilize what we're building with Nvidia to both create new AI breakthroughs and empower people and businesses with them at scale." The news comes days after Microsoft said it will bring the most powerful AI data center in the world-with 337.6 megawatts of capacity-online in Wisconsin and days after Nvidia said it plans to invest $5 billion in semiconductor rival Intel and jointly develop "multiple generations" of products with the chipmaker. The 10 gigawatts of power required by the Nvidia systems comes out to between 4 million and 5 million GPUs, the amount Nvidia will ship this year in total and twice the amount shipped last year, accordingto CNBC. As part of the deal, Nvidia will serve as OpenAI's preferred strategic compute and networking partner for AI factory growth plans. The two companies will co-optimize roadmaps for OpenAI's model and infrastructure software and Nvidia's hardware and software, according to Monday's statements. The work Nvidia and OpenAI do will complement existing partnerships the companies have with Microsoft, Oracle and SoftBank, according to the companies' statements Monday. OpenAI is teamed up with Oracle and SoftBank as part of the $500 billion Stargate venture. Microsoft leverages OpenAI's models for its Azure cloud service and productivity applications. The centers will have Nvidia systems and represent millions of graphics processing units (GPUs). OpenAI now counts more than 700 million weekly active users of its generative AI products. Nvidia's stock was up about 5 percent after market opening Monday, trading at about $183 a share as of Monday afternoon Eastern time.

Nvidia Says It's Investing Up to $100B in ChatGPT Maker OpenAI

A former Senior Publishing Editor on the Dow Jones Newswires team at The Wall Street Journal, Aaron earned a Bachelor's degree in Economics from the University of Michigan and a Master's in Journalism from Columbia University. Nvidia and OpenAI's business relationship is entering a new phase. The chipmaker at the heart of the AI boom and world's most valuable company said Monday it plans to invest up to $100 billion in ChatGPT maker OpenAI to build out AI data centers. Shares of Nvidia (NVDA) jumped 4% in recent trading following the news. They've added more than a third of their value since the start of the year, as demand for the company's AI chips surged. "This investment and infrastructure partnership mark the next leap forward -- deploying 10 gigawatts to power the next era of intelligence," Nvidia CEO Jensen Huang said in a release. Nvidia said the first of those 10 gigawatts is expected to be deployed in the second half of next year, on its next-generation Vera Rubin platform. OpenAI CEO Sam Altmansaid it will use what it's building with Nvidia to "create new AI breakthroughs and empower people and businesses with them at scale." The companies said they expect to finalize the details of the partnership in the coming weeks.

Why Nvidia Stock Popped Monday | The Motley Fool

Investors loved what they heard from Nvidia and OpenAI today. Nvidia (NVDA 3.70%) has seen explosive growth for its advanced semiconductor chips. The artificial intelligence (AI) leader made a major announcement today that will supplement that growth. Nvidia and AI research organization and ChatGPT developer OpenAI have created a new strategic partnership that could be a win-win for both companies. That helped Nvidia's stock surge as much as 5.3%. As of 2:10 p.m. ET, shares were 3.4% higher than Friday's closing price. Nvidia said it will invest as much as $100 billion in OpenAI. But in reality, that money will turn right around to become revenue for Nvidia. The companies said the $100 billion will be used by OpenAI to establish and deploy data centers for OpenAI's next-generation AI infrastructure. The AI data centers will run at least 10 gigawatts (GW) of compute power utilizing millions of Nvidia graphics processing unit (GPU) systems. The systems will train and run OpenAI's next generation of models. Nvidia CEO Jensen Huang called the deal "monumental in size." Huang said the 10 GW is equivalent to between 4 million and 5 million GPUs. That is the total volume of what the company will ship in all of this year. Huang also added that the investment is "additive to everything that's been announced and contracted." That's great news for Nvidia investors. The majority of the data center costs will be used for Nvidia chips and systems. This deal alone could help Nvidia continue its astonishing rate of growth. Investors are recognizing that and adding Nvidia shares today.

Analysts react to Nvidia's $100 billion investment in OpenAI - The Economic Times

Nvidia will invest up to $100 billion in OpenAI, deploying 10 gigawatts of compute under a new strategic partnership. Analysts say the tie-up secures demand for GPUs, validates Nvidia's growth, and accelerates next-gen AI model development.Chipmaker Nvidia is set to invest up to $100 billion in ChatGPT-parent OpenAI, signing a letter of intent for a strategic partnership to deploy at least 10 gigawatts of compute, the companies said on Monday. Nvidia has used its financial clout to keep its hardware central to the buildout of artificial intelligence systems. Keeping OpenAI, which is also exploring its own chip designs, as a key customer could help the company reinforce its dominance as the industry considers rival suppliers. Here are some analyst reactions to the partnership: Matt Britzman, senior equity analyst, Hargreaves Lansdown "For Nvidia, the prize is huge - every gigawatt of AI data centre capacity is worth about $50 billion in revenue, meaning this project could be worth as much as $500 billion. "By locking in OpenAI as a strategic partner and co-optimizing hardware and software roadmaps, Nvidia is ensuring its GPUs remain the backbone of next-gen AI infrastructure. "The market is clearly big enough for multiple players, but this deal underscores that, when it comes to scale and ecosystem depth, Nvidia is still setting the pace - and raising the stakes for everyone else." Jacob Bourne, technology analyst, Emarketer "Demand for Nvidia GPUs is effectively baked into the development of frontier AI models, and deals like this should also ease concerns about lost sales in China. "It also throws cold water on the idea that rival chipmakers or in-house silicon from the Big Tech platforms are anywhere close to disrupting Nvidia's lead. "For OpenAI, it signals greater independence as it continues diversifying away from its Microsoft partnership and races to develop its next-generation models." Anshel Sag, principal analyst, Moor Insights & Strategy "I think this strengthens the partnership between the two companies that has existed since the beginning of OpenAI's existence. This also validates Nvidia's long-term growth numbers with so much volume and compute capacity, also enabling OpenAI to scale to even bigger customers." Bajarin, CEO, Creative Strategies "Really the point Nvidia was making was that it's just enabling OpenAI to meet surging demand and, at this point, we know there's surging demand for Nvidia GPUs, because that's primarily what OpenAI runs on."

What Is Going On With Nvidia Stock On Monday? - NVIDIA (NASDAQ:NVDA)

Nvidia NVDA stock gained on Monday after it announced that it has moved to expand its decade-long collaboration with OpenAI by signing a letter of intent for a strategic partnership. The companies plan to deploy at least 10 gigawatts of Nvidia systems to build OpenAI's next-generation AI infrastructure, a leap toward training and running models on the path to superintelligence. NVIDIA is committed to investing up to $100 billion in OpenAI as these systems roll out, with the first phase likely to go live in the second half of 2026 using the new Nvidia Vera Rubin platform. Also Read: Nvidia's Bold Move Catapults Intel To The Heart Of AI Innovation Nvidia traded close to its 52-week high of $184.48. Under the agreement, OpenAI named Nvidia its preferred strategic compute and networking partner for AI factory growth. Both companies will co-optimize their roadmaps, aligning OpenAI's model and infrastructure software with Nvidia's hardware and software. This deal complements Nvidia and OpenAI's existing collaborations with Microsoft MSFT, Oracle ORCL, SoftBank SFTBY, and Stargate partners to build the world's most advanced AI infrastructure. Nvidia's equity investment in OpenAI does not confer control rights. OpenAI's non-profit parent retains majority governance control. The timing highlights OpenAI's rapid growth, with more than 700 million weekly active users and widespread adoption by enterprises and developers. Nvidia and OpenAI expect to finalize partnership details in the coming weeks. OpenAI chief Sam Altman told CNBC Live that building this infrastructure is critical to everything it wants to do. Nvidia CEO Jensen Huang told CNBC that this project is additive to everything announced and contracted. Nvidia's stock has gained over 36% year-to-date, topping the Nasdaq 100 index's 18% returns, as Big Tech giants keep splurging on their AI ambitions, bearing testimony to the continued AI frenzy. Earlier in September, OpenAI shared plans to begin mass production of its first proprietary AI chip next year by partnering with Nvidia rival Broadcom AVGO. Broadcom CEO Hock Tan confirmed the deal on its earnings call, disclosing that it secured $10 billion in orders from OpenAI, its fourth major customer win. The partnership, which started in 2024, will allow OpenAI to use the chips internally to support ChatGPT's 700 million weekly users and upcoming models like GPT-5. The move mirrors strategies by Alphabet GOOGL, Amazon.com AMZN, and Meta Platforms META, which have all developed custom processors to optimize AI workloads. Price Action: At last check on Monday, NVDA stock was trading higher by 3.65% to $183.11. Read Next: Nvidia Commits $500 Million To UK Autonomous Driving Startup Wayve Photo: Shutterstock NVDANVIDIA Corp$183.954.12%OverviewAMZNAmazon.com Inc$228.37-1.35%AVGOBroadcom Inc$339.44-1.59%GOOGLAlphabet Inc$251.10-1.42%METAMeta Platforms Inc$770.67-0.99%MSFTMicrosoft Corp$514.63-0.64%ORCLOracle Corp$325.735.53%SFTBYSoftBank Group Corp$61.48-0.98%Market News and Data brought to you by Benzinga APIs

Nvidia to invest $100 billion in OpenAI for data centre development - The Economic Times

The companies unveiled a letter of intent for a landmark strategic partnership to deploy at least 10 gigawatts of Nvidia chips for OpenAI's AI infrastructure.Chipmaker Nvidia plans to invest up to $100 billion in artificial intelligence startup OpenAI under a new agreement, the companies said on Monday. The partnership comes as competition intensifies among technology giants and startups to secure access to energy and chips needed for AI growth. The companies unveiled a letter of intent for a landmark strategic partnership to deploy at least 10 gigawatts of Nvidia chips for OpenAI's AI infrastructure. The companies will finalize partnership details in the coming weeks, with the first deployment phase targeted to come online in the second half of 2026. The investment comes days after Nvidia committed $5 billion to struggling chipmaker Intel.

Nvidia investing up to $100B in ChatGPT owner OpenAI to create 'new...

Chipmaker Nvidia will invest up to $100 billion in ChatGPT owner OpenAI and provide it with data center chips, the companies said Monday, a tie-up between two of the highest profile leaders in the global artificial intelligence race. The deal, which will see Nvidia start delivering chips as soon as late 2026, will involve two separate but intertwined transactions, according to a person close to OpenAI. The startup will pay Nvidia in cash for chips, and Nvidia will invest in OpenAI for non-controlling shares, the person said. The first $10 billion of Nvidia's investment in OpenAI, which was most recently valued at $500 billion, will begin when the two companies reach a definitive agreement for OpenAI to purchase Nvidia chips Nvidia did not respond to immediate requests for clarification about the deal. The pact is among a spate of agreements between major technology players that includes years of investment in OpenAI from Microsoft and a deal last week between Nvidia and Intel to collaborate on AI chips. The two companies signed a letter of intent for a landmark strategic partnership to deploy at least 10 gigawatts of Nvidia chips for OpenAI's AI infrastructure. They aim to finalize partnership details in the coming weeks, with the first deployment phase targeted to come online in the second half of 2026. "Everything starts with compute," OpenAI CEO Sam Altman said in a statement.\ "Compute infrastructure will be the basis for the economy of the future, and we will utilize what we're building with Nvidia to both create new AI breakthroughs and empower people and businesses with them at scale." Nvidia shares were up 3% while shares of Oracle, which partners with OpenAI, SoftBank, and Microsoft on the $500 billion Stargate AI data center project, gained nearly 5%. Nvidia's investment comes days after it committed $5 billion to struggling chipmaker Intel. OpenAI and its backer Microsoft also announced earlier this month that they have signed a non-binding deal for new relationship terms that would allow for OpenAI's restructuring into a for-profit company. Nvidia also backed OpenAI in a $6.6 billion funding round in October 2024. The world's most valuable firm making another sizable investment in OpenAI could lead to antitrust scrutiny. The Trump administration has taken a much lighter touch on competition issues compared to President Biden's antitrust enforcers. In June 2024 the Justice Department and the Federal Trade Commission reached a deal that cleared the way for potential antitrust investigations into the dominant roles that Microsoft, OpenAI and Nvidia play in the artificial intelligence industry.

Nvidia to invest US$100 billion in OpenAI

Chipmaker Nvidia plans to invest up to US$100 billion in artificial intelligence startup OpenAI under a new agreement, the companies said on Monday, as competition intensifies among technology giants to secure access to energy and chips needed for AI growth. The companies unveiled a letter of intent for a landmark strategic partnership to deploy at least 10 gigawatts of Nvidia chips for OpenAI's AI infrastructure. They aim to finalize partnership details in the coming weeks, with the first deployment phase targeted to come online in the second half of 2026 "Everything starts with compute," Sam Altman, CEO of OpenAI said in a release. "Compute infrastructure will be the basis for the economy of the future, and we will utilize what we're building with Nvidia to both create new AI breakthroughs and empower people and businesses with them at scale." Shares of Oracle, a partner with OpenAI, SoftBank, and Microsoft on the $500 billion Stargate AI data center project, gained nearly five per cent. Nvidia's investment comes days after it committed $5 billion to struggling chipmaker Intel. ---

Nvidia To Invest Up to $100 Billion in OpenAI To Meet Rapid Demand for Artificial Intelligence

Nvidia is investing up to an additional $100 billion in the company behind ChatGPT, OpenAI, as part of an expansion of their partnership to build and deploy the computing power to support the rapid growth of artificial intelligence. The arrangement calls for deploying at least 10 gigawatts of new AI data computing power, about the equivalent of powering 10 million homes for a year. The investment will be provided in stages as each gigawatt goes online. Nvidia's CEO, Jensen Huang, says the project is needed because computing demand for artificial intelligence is "going through the roof." "This is the biggest AI infrastructure project in history," Mr. Huang told CNBC on Monday. "This is the largest computing project in history." The first phase is targeted to come online in the second half of 2026. Mr. Huang says AI is entering its "industrial revolution" and says that in the near future, everything done online will be touched by AI. "It's a big deal," Mr. Huang says. CEO Sam Altman says OpenAI has been under "horrible" constraints due to insufficient computing capacity. "Now that we really see what is on the near-term horizon of how good the models are getting, the new use cases that are being enabled, what people want to do, this is like the fuel we need to drive improvement, to drive better models, to drive everything," says Mr. Altman, who joined Mr. Huang and the president of OpenAI, Greg Brockman, in the interview. OpenAI and Nvidia have been working together for nearly a decade, using Nvidia hardware for training early GPT-2 and GPT-3 models. OpenAI says the partnership complements the work the two companies are already doing with other partners including Microsoft, Oracle, SoftBank, and Stargate. Mr. Brockman says AI is growing faster than any product in history, with 700 million weekly active users already using ChatGPT and demand continuing to grow. "We're able to create new breakthroughs, new models, to be able to actually solve problems like cures for diseases and to actually empower every individual user and business because we'll be able to reach the next level of scale," Mr. Brockman says. The companies say they are still finalizing the details of the increased partnership and that will take weeks to fully flush out. Nvidia's stock was up about 3 percent after the announcement.

Nvidia Stock On Track for Record Close on Expansive Partnership With OpenAI

Shares of Nvidia rose after the chipmaker said it plans to invest up to $100 billion into OpenAI as part of an expansive new partnership. The stock edged up 4% to $183.76 Monday, on track for a new all-time closing high. Shares are up 37% this year. The companies said Monday that OpenAI will build and deploy at least 10 gigawatts of Nvidia systems for its artificial intelligence data centers to train and run its next generation of models. Nvidia will make its investment in OpenAI progressively as each gigawatt is deployed to support data center and power capacity, the companies said. The first phase of the partnership is targeted to come online in the second half of 2026 using Nvidia's Vera Rubin platform. The companies said they plan to finalize the details of their new partnership in the coming weeks. The partnership comes after Nvidia said last week it would invest $5 billion in chipmaker Intel. Under the terms of the deal, Intel will design custom central processing units that will be easily integrated with Nvidia's chips and other equipment in both data centers and personal computers.

Analysts react to Nvidia's $100 billion investment in OpenAI

(Reuters) -Chipmaker Nvidia is set to invest up to $100 billion in ChatGPT-parent OpenAI, signing a letter of intent for a strategic partnership to deploy at least 10 gigawatts of compute, the companies said on Monday. Nvidia has used its financial clout to keep its hardware central to the buildout of artificial intelligence systems. Keeping OpenAI, which is also exploring its own chip designs, as a key customer could help the company reinforce its dominance as the industry considers rival suppliers. Here are some analyst reactions to the partnership: MATT BRITZMAN, SENIOR EQUITY ANALYST, HARGREAVES LANSDOWN "For Nvidia, the prize is huge -- every gigawatt of AI data centre capacity is worth about $50 billion in revenue, meaning this project could be worth as much as $500 billion. "By locking in OpenAI as a strategic partner and co-optimizing hardware and software roadmaps, Nvidia is ensuring its GPUs remain the backbone of next-gen AI infrastructure. "The market is clearly big enough for multiple players, but this deal underscores that, when it comes to scale and ecosystem depth, Nvidia is still setting the pace -- and raising the stakes for everyone else." JACOB BOURNE, TECHNOLOGY ANALYST, EMARKETER "Demand for Nvidia GPUs is effectively baked into the development of frontier AI models, and deals like this should also ease concerns about lost sales in China. "It also throws cold water on the idea that rival chipmakers or in-house silicon from the Big Tech platforms are anywhere close to disrupting Nvidia's lead. "For OpenAI, it signals greater independence as it continues diversifying away from its Microsoft partnership and races to develop its next-generation models." ANSHEL SAG, PRINCIPAL ANALYST, MOOR INSIGHTS & STRATEGY "I think this strengthens the partnership between the two companies that has existed since the beginning of OpenAI's existence. This also validates Nvidia's long-term growth numbers with so much volume and compute capacity, also enabling OpenAI to scale to even bigger customers." BEN BAJARIN, CEO OF TECHNOLOGY CONSULTING FIRM CREATIVE STRATEGIES "Really the point Nvidia was making was that it's just enabling OpenAI to meet surging demand and, at this point, we know there's surging demand for Nvidia GPUs, because that's primarily what OpenAI runs on." (Reporting by Juby Babu in Mexico City, Kritika Lamba and Arsheeya Bajwa in Bengaluru; Editing by Alan Barona)

Nvidia to invest $100 billion in OpenAI as AI datacenter competition intensifies

(Reuters) -Chipmaker Nvidia will invest up to $100 billion in OpenAI and provide it with data center chips, the companies said on Monday, a tie-up between two of the highest-profile leaders in the global artificial intelligence race. The deal, which will see Nvidia start delivering chips as soon as late 2026, will involve two separate but intertwined transactions, according to a person close to OpenAI. The startup will pay Nvidia in cash for chips, and Nvidia will invest in OpenAI for non-controlling shares, the person said. The first $10 billion of Nvidia's investment in OpenAI, which was most recently valued at $500 billion, will begin when the two companies reach a definitive agreement for OpenAI to purchase Nvidia chips Nvidia did not respond to immediate requests for clarification about the deal. The pact is among a spate of agreements between major technology players that includes years of investment in OpenAI from Microsoft and a deal last week between Nvidia and Intel to collaborate on AI chips. The two companies signed a letter of intent for a landmark strategic partnership to deploy at least 10 gigawatts of Nvidia chips for OpenAI's AI infrastructure. They aim to finalize partnership details in the coming weeks, with the first deployment phase targeted to come online in the second half of 2026. "Everything starts with compute," OpenAI CEO Sam Altman said in a statement. "Compute infrastructure will be the basis for the economy of the future, and we will utilize what we're building with Nvidia to both create new AI breakthroughs and empower people and businesses with them at scale." Nvidia shares were up 4.4% while shares of Oracle, which partners with OpenAI, SoftBank and Microsoft on the $500 billion Stargate AI data center project, gained nearly 5%. Nvidia's investment comes days after it committed $5 billion to struggling chipmaker Intel. OpenAI and its backer, Microsoft, also announced earlier this month that they have signed a non-binding deal for new relationship terms that would allow for OpenAI's restructuring into a for-profit company. Nvidia also backed OpenAI in a $6.6 billion funding round in October 2024. However, the world's most valuable firm making another sizeable investment in OpenAI could lead to antitrust scrutiny. The Trump administration has taken a much lighter touch on competition issues compared with former President Joe Biden's antitrust enforcers. In June 2024 the Justice Department and the Federal Trade Commission reached a deal that cleared the way for potential antitrust investigations into the dominant roles that Microsoft, OpenAI and Nvidia play in the artificial intelligence industry. (Reporting by Arsheeya Bajwa in Bengaluru and Deepa Seetharaman and Stephen Nellis in San Francisco; Editing by Tasim Zahid and Anil D'Silva)