Nvidia to invest $100 billion in ChatGPT maker OpenAI, aims for AI superintelligence

 Nvidia to invest $100 billion in ChatGPT maker OpenAI, aims for AI superintelligence


Chip designer Nvidia has announced it will invest up to $100 billion in OpenAI. The partnership between the two companies was announced on Monday, focusing on the development of artificial intelligence (AI) data centers and AI superintelligence.



Under the agreement, OpenAI will use at least 10 gigawatts of Nvidia systems for the infrastructure used to train AI models. 10 gigawatts is the energy capacity of about 22 Tamakoshi hydroelectric projects.


When Nvidia’s systems are deployed, the chip designer will invest $100 billion in OpenAI. The first gigawatt of technology is scheduled to come online by the end of 2026.


Nvidia CEO Jensen Huang told investors last month that building a gigawatt of data center capacity costs $50 billion to $60 billion. Nvidia’s chips and systems cost about $35 billion.


Nvidia shares rose 3.6% to $41.89 as of Monday afternoon, nearing their highest point this year.


Training and running AI models requires high-energy infrastructure. OpenAI has been making huge investments in data centers to keep up with demand from OpenAI’s 700 million weekly active users and to meet growing competition from companies like Elon Musk’s XA.


“Computer infrastructure will be the foundation of the future economy,” OpenAI CEO Sam Altman said in Monday’s announcement. OpenAI’s goal is to one day deploy AI superintelligence with intelligence beyond that of humans.


Nvidia is one of several companies to invest in OpenAI, along with Microsoft, which also provides services and products. Microsoft has invested about $13 billion in OpenAI.

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