Nvidia Signals Final Investments in OpenAI and Anthropic

Nvidia CEO Jensen Huang said Wednesday (March 4) that the company’s opportunity to invest $100 billion in OpenAI is “probably not in the cards” because OpenAI is going to go public.

Instead, Nvidia has finalized an agreement to invest $30 billion in OpenAI, Huang said during a discussion at the Morgan Stanley Technology, Media & Telecom Conference.

“I’m fairly sure that if we provide the compute capacity they need, which we’re ramping up hard to go do, the revenues will more than follow, and they’re going to go public toward the end of the year,” Huang said. “So, this might be the last time we’ll have the opportunity to invest in a consequential company like this.”

Nvidia’s $10 billion investment in another AI company, Anthropic “probably will be the last as well,” Huang said.

It was reported Feb. 20 that Nvidia was close to finalizing a $30 billion investment in OpenAI that would replace the company’s earlier commitment to invest up to $100 billion, which was announced in September.

On Feb. 1, it was reported that Huang said Nvidia’s proposed $100 billion investment into OpenAI was “never a commitment” and that “we will invest one step at a time.” Days before that, it was reported that the planned investment had stalled after some people within Nvidia began having doubts about the deal.

Responding to reports that he was unhappy with OpenAI, Huang said in the Feb. 1 report: “We will invest a great deal of money. I believe in OpenAI. The work that they do is incredible. They’re one of the most consequential companies of our time.”

It was reported Jan. 29 that OpenAI was accelerating its plans for a potential initial public offering as soon as the fourth quarter.

Anthropic, Nvidia and Microsoft announced in November that Nvidia and Microsoft had pledged to invest up to $10 billion and $5 billion, respectively, in Anthropic.

“We are increasingly going to be customers of each other,” Microsoft CEO Satya Nadella said in a video statement accompanying the announcement, in which he was joined by Huang and Anthropic CEO Dario Amodei.

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