February 3, 2026
Finance

Nvidia Approaches Historic $20 Billion Investment in OpenAI Amidst Partnership Speculation

Top Executives Address Rumors as Nvidia Considers Unprecedented Funding Commitment to AI Startup

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Summary

Nvidia, under the leadership of CEO Jensen Huang, is reportedly nearing a $20 billion investment in artificial intelligence startup OpenAI, marking the company’s largest investment to date. This potential commitment comes as OpenAI seeks extensive new funding, with other major investors like Amazon and SoftBank also in discussions. Amid reports questioning the stability of the Nvidia-OpenAI collaboration, both corporate leaders have publicly denied any partnership issues.

Key Points

Nvidia is reportedly close to finalizing a $20 billion investment in AI firm OpenAI, representing its largest single investment in the startup.
OpenAI aims to raise up to $100 billion in its current funding round, with Amazon considering an investment of up to $50 billion and SoftBank Group possibly investing up to $30 billion.
Recent reports suggested internal challenges within Nvidia and dissatisfaction from OpenAI regarding Nvidia's new AI chips, but both Jensen Huang and Sam Altman have denied any partnership issues.
Despite the reported discord, Nvidia’s stock shows a strong price trend across multiple time frames, though it has experienced recent declines amid the news.

In a move that underscores its dedication to the burgeoning artificial intelligence sector, Nvidia Corp, headed by Jensen Huang, is on the cusp of making its most significant investment yet. Reports indicate that Nvidia is close to finalizing a $20 billion injection into OpenAI, the creator of the widely known AI platform ChatGPT. This figure, if confirmed, would represent the largest single investment Nvidia has made in the company to date.

The details of the deal have yet to be sealed, with sources suggesting that terms remain in flux and subject to change. Attempts to obtain confirmations or comments from both Nvidia and OpenAI have not yielded immediate responses.

OpenAI itself has publicized ambitions to raise up to $100 billion in its latest capital raising effort, aiming to capture substantial financial backing to support its expansive growth plans within the AI industry. Alongside Nvidia, other prominent entities are contemplating significant investments: Amazon.com is reported to be considering committing up to $50 billion, while SoftBank Group, noted as one of OpenAI's largest shareholders, has also signaled interest in potentially investing around $30 billion.

These prospective funding commitments place OpenAI at the forefront of a competitive landscape where leading technology and investment firms are aligning to capitalize on artificial intelligence advancements.

However, the partnership between OpenAI and Nvidia has recently come under increased scrutiny. Reports from the preceding week brought to light internal disagreements within Nvidia regarding a previous plan announced in September 2025, where Nvidia contemplated investing as much as $100 billion into OpenAI. Sources intimated that internal apprehensions had caused delays or reconsiderations of this plan.

Further complicating the narrative, fresh reports emerged alleging dissatisfaction from OpenAI toward some of Nvidia's latest AI chip offerings, indicating the startup is exploring alternative hardware solutions. These reports have sparked concerns about the potential for strain or discord within the collaborative relationship.

Despite these circulating assertions, both Jensen Huang and OpenAI’s CEO, Sam Altman, have publicly refuted claims of any tension between the two organizations. Their statements suggest a commitment to maintaining a strong and cooperative partnership.

Examining the market performance amidst these developments, Nvidia’s stock experienced a downturn on the day following the news, closing down by 2.84% at $180.34 during the regular trading session, and registering a further decline of 0.58% to $179.30 in after-hours trading. Analytics from Benzinga’s Edge Stock Rankings highlight that Nvidia sustains a robust price trend over short, medium, and long-term horizons, despite registering a comparatively weak value score.

The investment environment is further contextualized by parallel movements in related stocks. Amazon.com’s shares were noted at $238.45 with a marginal decline, while SoftBank Group’s American Depository Receipts exhibited a 6.40% drop to $25.60 and $13.26 respectively across their different ticker listings.

Overall, the potential capital infusions into OpenAI by heavyweights Nvidia, Amazon, and SoftBank reflect a high-stakes race to dominate AI technologies, accentuating the strategic importance placed on AI innovation by these corporations. Yet, the oscillating reports concerning their collaboration dynamics underscore the inherent uncertainties and complexities involved in partnerships within this rapidly evolving field.

As these discussions unfold and funding rounds advance, stakeholders and observers alike await definitive clarifications on investment structures and partnership relations, which will be pivotal for the trajectory of both Nvidia and OpenAI in the competitive AI landscape.

Risks
  • The investment deal between Nvidia and OpenAI is not finalized and terms may change, introducing uncertainty about the actual scale of Nvidia's funding commitment.
  • Reports of internal concern within Nvidia and OpenAI’s dissatisfaction with certain Nvidia AI chips may indicate potential friction that could affect their strategic partnership.
  • Market jitters reflected in the decline of Nvidia’s stock price suggest investor caution regarding the announced plans and partnership reports.
  • The large funding round by OpenAI and involvement of multiple major investors could complicate the funding dynamics and influence on company governance and strategy.
Disclosure
Education only / not financial advice
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