$100 billion off the table: Nvidia no longer plans to invest in OpenAI before IPO

The opportunity to invest $100 billion in OpenAI is likely "off the table" for Nvidia, and the chipmaker's latest investment in the AI startup "could be its last," the chipmaker's CEO Jensen Huang said at a Morgan Stanley conference, CNBC reports . We're talking about a recent round in which, in addition to Nvidia, Amazon and SoftBank also participated. Together they contributed $110 billion, Nvidia's contribution amounted to $30 billion. At the end of the deal, the value of OpenAI was estimated at $730 billion.

"The reason is that they (OpenAI - Oninvest) are going to go public," Huang explained his decision. The startup may float on the stock exchange in the fourth quarter of 2026, sources told The Wall Street Journal in late January.

Thus, the $100 billion deal announced in September, which stirred Wall Street and made analysts talk about a potential bubble in the AI market, will probably not take place. At the time, the strategic partnership was expected to see OpenAI deploy at least 10 gigawatts of Nvidia's computing power for the next generation of AI models. But already in November, in a quarterly report, the chipmaker admitted that the agreement would not be finalized.

Huang also noted that Nvidia's $10 billion investment in OpenAI rival AI company Anthropic is also likely to be its last.

This article was AI-translated and verified by a human editor