Nvidia’s proposed $100bn OpenAI investment stalls on concerns

Group 1 - Nvidia's proposed investment of up to $100 billion in OpenAI has stalled due to internal concerns, leading to a reconsideration of their partnership structure [1][2] - The discussions now involve a potential equity investment in the tens of billions as part of OpenAI's latest funding round, rather than the initially announced larger sum [1] - Nvidia had initially planned the substantial investment to support OpenAI's acquisition of advanced chips and enhance its capacity for training and operating new AI models [2] Group 2 - Nvidia CEO Jensen Huang described the original $100 billion commitment as non-binding and not finalized, raising concerns about OpenAI's business practices and competition from other tech firms [2][3] - Other major players, including Amazon and SoftBank Group, are also seeking partnerships with OpenAI, with Amazon reportedly negotiating an investment that could reach $50 billion [3] - OpenAI is currently aiming to raise up to $100 billion in funding, which would give it an estimated valuation of around $830 billion [3] Group 3 - The original agreement between Nvidia and OpenAI involved deploying ten gigawatts (GW) of Nvidia systems for AI infrastructure development, with initial operations expected in the second half of 2026 [4] - Nvidia was intended to serve as OpenAI's main provider of computing and networking solutions, collaborating with partners such as Microsoft, Oracle, SoftBank, and Stargate [5]