NVIDIA Corporation (NVDA) To Invest $100 Billion In OpenAI, Linking Two AI Giants

Core Insights - NVIDIA Corporation is set to invest up to $100 billion in OpenAI, highlighting a significant partnership between two leading companies in the AI sector [1][2] - This investment will provide OpenAI with essential data center chips, reinforcing its competitive position in the AI landscape [3][4] Investment Details - The agreement includes NVIDIA acquiring a financial stake in OpenAI, which will also serve as a key customer for NVIDIA's chips [3] - The investment will be executed through two separate transactions, with NVIDIA investing in OpenAI's non-voting shares, allowing OpenAI to utilize the funds for chip purchases [4] Strategic Partnership - The firms have signed a letter of intent for the deployment of at least 10 gigawatts of NVIDIA systems for OpenAI, with hardware delivery expected to commence in the second half of 2026 [5] - Analysts view this deal positively for NVIDIA, although there are concerns regarding the potential for investment funds to return to NVIDIA through chip purchases [6]