Nvidia in talks for $30 Billion investment in OpenAI, reworking the $100B+ plan

Nvidia is close to finalizing a $30 billion investment in OpenAI, according to Reuters. The stake is connected to the fundraising round where OpenAI is seeking more than $100 billion, which would value the company at about $830 billion. SoftBank and Amazon are also expected to participate.

This replaces the previous headline number where Nvidia had talked about investing up to $100 billion under a letter of intent tied to OpenAI deploying Nvidia systems in data centers. They planned an initial $10 billion once the sides reached a definitive agreement for OpenAI to purchase Nvidia systems, but this week’s reporting says that agreement took much longer than both parties expected.

Jensen Huang has spent the last few weeks lowering the temperature around that earlier figure. He said the $100 billion was never a firm commitment and described a step-by-step approach. Put next to the new $30 billion number, it reads less like a sudden change and more like the deal snapping into a shape that can actually be signed.

Notes suggest the new arrangement is an equity investment without a matching requirement that OpenAI must buy Nvidia chips. Yet Reuters says OpenAI is set to use much of the new capital to purchase chips anyway, because those chips still power training and deployment at scale.

OpenAI also isn’t building its future around a single supplier. It has been widening its options beyond Nvidia, including partnerships with other chipmakers like Amd or Cerebras. Allowing them to not depend on one supplier alone.