Nvidia plans to invest up to $100B in OpenAI progressively to build AI data centers

Nvidia has committed to a $100 billion investment plan in collaboration with OpenAI, aiming to create AI data centers powered by Nvidia technology, deploying at least 10 gigawatts of infrastructure.

This alliance focuses on utilizing millions of GPUs to enhance OpenAI's capabilities in training advanced AI models and aims for implementation in the latter half of 2026 using Nvidia's Vera Rubin platform.

Nvidia's Founder and CEO, Jensen Huang, highlighted the significance of this investment as a crucial step towards advancing intelligence, and the partnership has been positively received in the stock market, with Nvidia's shares rising by 2.6%.

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Nvidia (NASDAQ: NVDA) has announced a significant investment plan, committing up to $100 billion to collaborate with Microsoft (NASDAQ: MSFT)-backed OpenAI. The goal is to create and implement at least 10 gigawatts of AI data centers utilizing Nvidia technology.

This strategic alliance aims to deploy a vast number of Nvidia systems—amounting to millions of GPUs—to support OpenAI's advanced AI infrastructure. This infrastructure will facilitate the training and operation of next-generation AI models, paving the way towards achieving superintelligence.

The initial phase of this ambitious project is slated to go live in the latter half of 2026, utilizing Nvidia's Vera Rubin platform.

Jensen Huang, the Founder and CEO of Nvidia, emphasized the importance of this investment, stating, "This investment and infrastructure partnership mark the next leap forward—deploying 10 gigawatts to power the next era of intelligence."

In the wake of this announcement, Nvidia's stock witnessed a positive shift, with a gain of 2.6%.

In a recent CNBC interview, Huang described the partnership as “additive to everything” discussed previously with Wall Street regarding the company’s financial outlook.

Under this partnership, OpenAI has designated Nvidia as its preferred strategic computing and networking partner, focusing on scaling its AI initiatives. The two companies plan to work closely together to optimize their respective roadmaps, aligning OpenAI's software for models and infrastructure with Nvidia's hardware and software solutions.

OpenAI has reported a significant user base, boasting over 700 million weekly active users and extensive adoption among global enterprises, small businesses, and developers.

Nvidia and OpenAI eagerly anticipate solidifying the specifics of this new phase in their strategic partnership in the upcoming weeks.

(Note: This article has been updated with insights from Huang's interview with CNBC.)