Nvidia's $100 Billion Bet on OpenAI: Will it Pay Off?

2025-09-22 18:00:27.956

Chipmaker Nvidia announced a $100 billion investment in OpenAI, a partnership that will boost OpenAI's computing power by at least 10 gigawatts of Nvidia AI data centers. The first gigawatt is slated for deployment in the second half of 2026. This collaboration follows OpenAI's tentative agreement with Microsoft for a $100 billion equity stake and comes amidst ongoing legal battles and safety concerns. OpenAI, originally founded as a non-profit, is facing a lawsuit from Elon Musk, alleging a betrayal of its mission to develop AI for humanity's benefit. State attorneys general have also expressed serious concerns regarding ChatGPT's safety, particularly for children and teens, citing reports of harmful interactions, including a teen's suicide. Despite these concerns, OpenAI boasts 700 million weekly active users. This partnership adds to Nvidia's recent $5 billion investment in Intel, reflecting the surging demand for AI computing power.