Nvidia has now jumped into the fray with a larger, bolder plan to invest as much as $100 billion in OpenAI. This decision is a historic breakthrough in battling artificial intelligence (AI) infrastructure. The two companies are working together to deploy an astounding 10 gigawatts of Nvidia systems. This push converts to approximately 4 million to 5 million graphics processing units (GPUs)! This is a company-changing investment for each of these firms. It will give the company the financial firepower to continue to develop their AI capabilities and dramatically broaden their pool of users — now at 700 billion active weekly users.
OpenAI CEO Sam Altman recently referred to Nvidia and Microsoft as “passive” investors. He noted that they are two of OpenAI’s “most strategic partners.” Microsoft, an early investor in OpenAI, has established a strategic partnership with the organization to integrate its models into Microsoft’s cloud service, Azure, and Microsoft Office. This strategic partnership has been instrumental in the rapid development and mass adoption of OpenAI’s technology.
The pact, which provided OpenAI with $1 billion of its value in computing resources, is the bedrock of OpenAI’s future plans. Nvidia co-founder and CEO Jensen Huang at the time described the collaboration as “monumental in size.” He noted that Nvidia’s investment will start with the systems coming online this year, including the next-generation Vera Rubin systems. These systems will be fully operational by the second half of 2026.
Producing one gigawatt of data center capacity requires the commitment of a colossally expensive $50 billion to $60 billion. Of this total, about $35 billion is expressly dedicated to Nvidia chips and systems. Huang emphasized that the investment is “additive to everything that’s been announced and contracted,” reinforcing the commitment both companies have towards advancing AI technology.
OpenAI has a monumental task ahead, as it dives into this entirely new and uncharted infrastructure endeavor. Altman laid out three primary objectives for the organization: “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.” These goals are key to ensuring OpenAI continues to be the cutting-edge leader in the fast-paced world of AI development.
Though still in its early days, as the partnership continues to evolve, Altman has promised stakeholders that big things are coming. “You should expect a lot from us in the coming months,” he stated, hinting at new advancements and initiatives that will emerge from this collaboration.