Rumor comes true? Nvidia's "100 billion dollar investment" in OpenAI ended up being "cut to a third"

```

Nvidia's $100 billion investment deal with OpenAI may have been reduced to a third.

According to a report by the Financial Times on Friday, Nvidia is about to finalize a $30 billion equity investment in OpenAI as part of a large-scale financing round for the AI startup, marking a shift in their relationship from complex long-term commitments to more direct capital arrangements. The report cited sources familiar with the matter, stating that Nvidia is in the final stages of negotiations with OpenAI, and the investment may be completed as soon as this weekend.

According to an earlier article from Wallstreetcn, the original $100 billion deal stalled due to internal doubts within Nvidia about the terms, and Jensen Huang (CEO) has emphasized in recent months to industry insiders that the agreement is non-binding and not finalized.

This $30 billion equity investment is part of OpenAI's larger financing plan. According to sources, this round is expected to raise over $100 billion, putting OpenAI's valuation at $730 billion, excluding the new capital. OpenAI will reinvest most of the new capital into Nvidia hardware, but the two companies will not proceed with the $100 billion multi-year investment partnership announced in September last year.

From Complex Agreements to Direct Equity Investment

The agreement announced last September, in the form of a "letter of intent," closely connected two core companies in the AI boom and, weeks later, helped push Nvidia's market capitalization past $5 trillion.

Under the terms of the $100 billion deal, Nvidia originally planned to invest $10 billion ten times over several years, acquiring significant shares in the AI startup as OpenAI's demand for computing power grew. In return, OpenAI planned to purchase millions of Nvidia's AI processors to deploy up to 10 gigawatts of new computing power.

But the agreement never progressed from a memorandum of understanding to a formal contract. It is said that Jensen Huang privately criticized OpenAI's lack of commercial discipline and expressed concerns about competitive pressure from rivals such as Google and Anthropic. Now, the arrangement has been replaced by a more direct plan, with Nvidia investing up to $30 billion in exchange for OpenAI shares.

According to sources close to both companies, the funds will support the building of gigawatt-scale new computing power and may lead to further transactions over time.

Both Sides Publicly Maintain Relationship

Despite major changes in the deal structure, OpenAI CEO Sam Altman and Jensen Huang have tried to dispel reports about cooling relations between the two companies.

Earlier this month, Altman posted on X, "We love working with Nvidia. They make the best AI chips in the world. We hope to be a huge customer of theirs for a very long time."

The next day, Jensen Huang told CNBC that any talk of "controversy" is "nonsense." "We love working with OpenAI," he said.

According to sources, the San Francisco-based startup is also in the final stages of negotiations with SoftBank, which will also invest $30 billion. Amazon may invest up to $50 billion as part of a broader collaboration involving the use of OpenAI models. The Abu Dhabi state-backed tech investment fund MGX and Microsoft are also expected to invest billions. OpenAI executives have been meeting with venture capitalists and other investors this week to seek additional interest.

According to one source, in these meetings, OpenAI told investors that they plan to spend about $600 billion on computing resources by 2030, including resources from Nvidia, Amazon, and Microsoft. The company sees acquiring computing resources as the best defense against competitors and is working to secure as much infrastructure and power supply as possible to meet the executives' expected unlimited demand for AI tools.

Risk Warning and DisclaimerThe market carries risks, and investments should be made cautiously. This article does not constitute personal investment advice, nor does it take into account the specific investment objectives, financial situation, or needs of individual users. Users should consider whether any opinions, viewpoints, or conclusions in this article are suitable for their specific situation. Investing based on this is at your own risk. ```