Nvidia to Invest $100 Billion in OpenAI to Expand ChatGPT Computing Capacity
Nvidia will invest $100B in OpenAI, adding 10 gigawatts of AI data centers to expand ChatGPT’s computing capacity starting in 2026.
Nvidia announced Monday that it will invest $100 billion in OpenAI, the company behind the AI chatbot ChatGPT. The investment is part of a partnership that will add at least 10 gigawatts of Nvidia AI data centers to increase OpenAI’s computing power.
Under a letter of intent, the first gigawatt of Nvidia systems is scheduled for deployment in the second half of 2026. The companies said they will finalize the terms of the agreement in the coming weeks.
“This partnership builds on the work OpenAI and Nvidia are already doing with collaborators including Microsoft, Oracle, SoftBank, and Stargate partners to expand AI infrastructure,” the companies said in a joint statement.
The Nvidia announcement follows a separate agreement in which Microsoft is set to acquire a $100 billion equity stake in OpenAI’s for-profit division. OpenAI was originally founded as a nonprofit in 2015. Its nonprofit board continues to control the for-profit arm, which develops and sells AI products.
OpenAI’s structure has faced legal challenges from Elon Musk, a co-founder and early funder. Musk’s lawsuit seeks to prevent the for-profit division from taking control away from the nonprofit and alleges that the company has deviated from its original goal of developing AI for public benefit.
This month, the attorneys general of California and Delaware raised safety concerns about ChatGPT, particularly for children and teenagers. Officials cited reports of harmful interactions between users and chatbots, including the suicide of a 16-year-old in California after extended use of ChatGPT. The boy’s parents have since filed a lawsuit against OpenAI and CEO Sam Altman. OpenAI reports approximately 700 million weekly active users.
Nvidia’s investment comes shortly after the company announced a $5 billion investment in Intel, another chipmaker facing growing demand for AI hardware.
Analysts Respond to the Partnership
Analysts provided reactions to the Nvidia–OpenAI partnership:
-
Matt Britzman, Hargreaves Lansdown: “Every gigawatt of AI data center capacity could generate about $50 billion in revenue. This partnership ensures Nvidia GPUs remain central to AI infrastructure while scaling OpenAI’s systems.”
-
Jacob Bourne, eMarketer: “This confirms Nvidia’s lead in supplying hardware for advanced AI models. The partnership reduces concerns about competition from other chipmakers or internal chips developed by tech giants.”
-
Anshel Sag, Moor Insights & Strategy: “The deal solidifies Nvidia’s long-term relationship with OpenAI and supports growth by providing the compute power needed for larger customers.”
-
Ben Bajarin, Creative Strategies: “OpenAI depends heavily on Nvidia GPUs. This investment allows the company to meet the rising demand for AI services.”
The partnership will provide OpenAI with 10 gigawatts of Nvidia AI data centers to support the development of larger ChatGPT models and handle more user activity. Nvidia will supply the GPUs and infrastructure for these systems.
OpenAI Investors Overview (2025)
| Investor | Investment Amount | Funding Round(s) | Equity Stake | Details |
|---|---|---|---|---|
| Microsoft | $13 billion | Series B, D, E | ~49% of OpenAI Global LLC | Provides Azure cloud; profit share capped at 10× investment. |
| SoftBank Group | $30 billion | Series E (2024), F (2025) | Not disclosed | Led $40B Series F round; syndicate investment. |
| Nvidia | Up to $100 billion | Strategic partnership (2025) | Not disclosed | Deploying 10 GW of AI data centers; GPUs and infrastructure supplied. |
| Oracle | $300 billion | Strategic partnership (2025) | Not disclosed | Partnering on AI infrastructure development. |
| Elon Musk | $45 million | Seed round (2015) | Not disclosed | Co-founder; initial funding. |
| Peter Thiel | Not disclosed | Seed round (2015) | Not disclosed | Co-founder; initial funding. |
| Reid Hoffman | Not disclosed | Seed round (2015) | Not disclosed | Co-founder; initial funding. |
| Jessica Livingston | Not disclosed | Seed round (2015) | Not disclosed | Co-founder; initial funding. |
| Andreessen Horowitz | Not disclosed | Series E (2023), F (2025) | Not disclosed | Participated in Series E and F rounds. |
| Thrive Capital | $1.2 billion | Series E (2023), F (2025) | Not disclosed | Participated in late-stage funding rounds. |
| Altimeter Capital | Not disclosed | Series E (2024), F (2025) | Not disclosed | Participated in Series E and F rounds. |
| Tiger Global | Not disclosed | Series E (2024), F (2025) | Not disclosed | Participated in Series E and F rounds. |
Key Details:
|
||||
Also Read: How This Graphics Card Company By Chance Became a Crypto Giant
