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$100 Billion Nvidia-OpenAI Alliance Raises Antitrust Concerns

By  |  September 23, 2025

A planned $100 billion collaboration between Nvidia, the world’s leading AI chipmaker, and OpenAI, a major force in artificial intelligence, is drawing scrutiny over the potential for an uneven playing field in the fast-growing sector, according to Reuters.

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    Legal experts and policymakers worry that the deal could consolidate too much power in the hands of just a few companies. Andre Barlow, an antitrust lawyer with Doyle, Barlow & Mazard, told Reuters that the agreement “raises significant antitrust concerns.” He noted that while the Trump administration has favored reducing regulatory barriers to spur AI development, competition authorities still view protecting market fairness as a priority.

    Nvidia controls more than half of the GPU chip market used in data centers, which are essential for training and running AI models like OpenAI’s ChatGPT. That dominance has fueled fears that the company could give OpenAI preferential treatment through faster delivery schedules or better pricing. Per Reuters, Rebecca Haw Allensworth, an antitrust professor at Vanderbilt Law School, warned that the financial ties between the two firms could incentivize Nvidia to disadvantage other customers who compete with OpenAI.

    Nvidia, however, rejected such concerns. A spokesperson told Reuters that the investment would not alter its approach to customers, emphasizing that “we will continue to make every customer a top priority, with or without any equity stake.” OpenAI declined to comment.

    Related: Beijing Drops Google Antitrust Case as Focus Shifts to Nvidia

    The scale of the agreement highlights the enormous costs of developing advanced AI. Nvidia’s deal would involve OpenAI purchasing millions of chips while Nvidia invests billions into the company. “The cost of chips, data centers and power has pushed the industry toward a handful of firms able to finance projects on that scale,” Sarah Kreps, director of the Tech Policy Institute at Cornell University, told Reuters.

    The Justice Department and Federal Trade Commission have previously warned against Big Tech using size and resources to dominate the AI sector. Although Trump officials have supported pro-business policies, DOJ antitrust division chief Gail Slater said recently that enforcement must remain vigilant, particularly to prevent exclusionary practices in critical areas such as computing power and distribution.

    Source: Reuters