A $100 Billion Promise Still in Limbo — Nvidia and OpenAI Haven’t Sealed the Deal Yet
The tech world is holding its breath. Nvidia’s much-hyped plan to pour as much as $100 billion into OpenAI — the company behind ChatGPT — remains unfinished. Despite the buzz, Nvidia’s Chief Financial Officer, Colette Kress, revealed on Tuesday at the UBS Global Technology and AI Conference in Arizona that the agreement hasn’t been finalized yet. “We’re still working with them,” she said, making it clear that no binding deal is in place.
This revelation adds fresh fuel to one of the biggest ongoing discussions in tech: the growing web of relationships between powerhouse players in artificial intelligence. Nvidia and OpenAI together represent two of the most influential names in the AI gold rush, and any joint investment between them could reshape how the technology’s future is financed and controlled. But here’s where it gets controversial — some critics warn that these deep financial ties risk creating an echo chamber in the AI ecosystem, where the same money powers both suppliers and consumers of AI products.
Back in September, Nvidia — now the world’s most valuable company — unveiled its letter of intent to invest in OpenAI. The early outline suggested a massive deployment of Nvidia systems totaling over 10 gigawatts of computing power. That’s roughly enough to supply electricity for more than eight million American homes — a staggering figure that illustrates just how energy-hungry the AI industry has become.
Kress confirmed that while the intent is there, the paperwork isn’t done: “We haven’t completed a definitive agreement, but discussions are active.” The statement leaves investors wondering when — or even if — this colossal plan will take effect.
OpenAI, which launched the generative AI boom in 2022 with the release of ChatGPT, remains one of Nvidia’s largest customers. Alongside major cloud providers, it heavily relies on Nvidia’s chips to train cutting-edge models. Nvidia’s CEO, Jensen Huang, previously revealed the company has already locked in an astonishing $500 billion in chip bookings through 2026. Yet Kress clarified an important detail: this figure does not include any potential orders from OpenAI under the pending deal. “That half a trillion doesn’t reflect the new work we’re pursuing with OpenAI,” she said.
Following Kress’s remarks, Nvidia shares ticked up by about 2.6%, signaling investor confidence despite the deal’s uncertainty. Still, questions about Nvidia’s strategy persist. The company has also been pouring billions into AI startups that are both clients and investment targets — a pattern that has some Wall Street analysts worried about “circular deals” that inflate valuations without adding real value.
Just last month, Nvidia pledged up to $10 billion in projects with Anthropic, one of OpenAI’s main competitors. According to Kress, that partnership too could add to Nvidia’s $500 billion chip backlog.
So, where does this all leave the AI industry? Are these mega-deals fueling genuine innovation — or creating a self-reinforcing bubble driven by tech giants investing in their own demand? Should Nvidia be applauded for its vision, or questioned for its influence? What do you think — is this the future of strategic collaboration, or a risky feedback loop waiting to burst?
