Nvidia is reportedly close to finalizing a massive financial commitment to the creator of ChatGPT. According to recent reports, the technology giant is currently in discussions regarding a potential Nvidia investment in OpenAI that could reach up to $30 billion. This proposed equity stake would deepen the relationship between the chipmaker and one of its largest hardware customers. If completed, the transaction would rank among the largest private funding allocations in the history of the technology sector, highlighting the immense capital required to develop advanced artificial intelligence models.
The massive capital infusion is expected to be part of a broader, record-breaking funding initiative for the artificial intelligence startup. Sources familiar with the ongoing negotiations suggest that the details are still being actively discussed, but an agreement could be concluded as early as this weekend. However, industry insiders caution that the terms are not yet strictly final and remain subject to potential alterations before any official signatures are gathered. Neither company has released a formal statement regarding the current negotiations, and Nvidia has explicitly declined to comment on the emerging reports.
Conflicting Accounts on the Original Infrastructure Deal
The exact nature of this new equity stake and how it relates to previous financial arrangements remains a point of significant disagreement among leading financial news outlets. In September of last year, the two companies publicly announced a strategic partnership framed as a letter of intent. That initial memorandum of understanding outlined a massive $100 billion long-term commitment designed to help the artificial intelligence firm build next-generation infrastructure. The ambitious plan detailed the deployment of at least ten gigawatts of hardware powered by millions of graphics processing units, heavily featuring the upcoming Vera Rubin platform scheduled for release in late 2026.
Reports now offer completely contradictory accounts regarding the status of that initial framework. According to the Financial Times, which first disclosed the ongoing talks on Thursday, and Reuters, the new $30 billion equity investment will effectively scale back and replace the previously agreed-upon $100 billion long-term commitment. These sources suggest the initial monumental infrastructure pact is being substituted with this smaller, yet still historic, direct equity purchase.
In direct contrast, CNBC reports that the newly proposed $30 billion investment is entirely distinct and separate from the September infrastructure agreement. According to an anonymous source cited by CNBC, this immediate financial infusion is not contingent upon any specific deployment benchmarks or hardware milestones. Furthermore, this source indicated that the chipmaker could still choose to participate in future funding rounds that align with the original $100 billion structure, suggesting the initial framework may not be entirely abandoned.
Differing Valuation Estimates for the AI Startup
The unprecedented scale of the ongoing capital raise has also led to widely varying estimates regarding the overall financial worth of the ChatGPT creator. The startup is reportedly pursuing a mega funding round that could independently total up to $100 billion in fresh capital. However, prominent media organizations provide conflicting figures on how this round will impact the overall appraisal of the firm.
Reuters and the Financial Times report that the massive funding initiative will place the startup’s valuation at approximately $830 billion following the investment. Conversely, CNBC reports that the $30 billion equity contribution is structured within a funding round that carries a pre-money valuation of $730 billion. Meanwhile, other financial publications indicate that the upcoming funding round is widely reported to value the firm at roughly $850 billion. Because the negotiations are private, these varying figures remain unconfirmed by the companies involved.
Leadership Statements and Hardware Demand
Questions regarding the stability of the partnership have circulated throughout the technology sector in recent months. Earlier this year, a report from The Wall Street Journal suggested that the initial $100 billion infrastructure plan had been put on ice. This prompted a strong public denial from Nvidia Chief Executive Officer Jensen Huang in late January.
During those January remarks, Huang dismissed the notion that his company was hesitating or unhappy with the generative artificial intelligence star, describing the rumors as complete nonsense. He firmly insisted that the technology giant was moving forward with a huge investment, describing the software creator as one of the most consequential companies of our time. Referring directly to the ongoing capital raise and the startup’s chief executive, Sam Altman, Huang stated that Altman was closing the round and that his firm would absolutely be involved.
Market observers view the potential equity move as a strong validation of the current artificial intelligence capital cycle, signaling continued conviction in the long-term growth trajectory of the sector despite broader market volatility. The proposed financial mechanics would create a cyclical benefit for the chipmaker. Observers note that the software company, which reportedly generates $20 billion in revenue to help support its spending, would likely reinvest a significant portion of the newly acquired capital directly back into the chipmaker’s hardware. This continuous reinvestment cycle would further boost demand for the specific components necessary to train and operate advanced generative models.
