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NVIDIA plans to invest as much as $100 billion (around 139 trillion South Korean won) in OpenAI to develop a massive artificial intelligence (AI) data center. This initiative represents a partnership between OpenAI, the startup at the forefront of the recent AI surge, and NVIDIA, which holds a leading position in the AI chip market, to create essential infrastructure. International media comment, “This goes beyond a financial investment; it’s a ‘strategic alliance’ aimed at constructing an ‘AI empire,’ with both industry leaders seeking to enhance their market control and shape the future of technology.”

NVIDIA revealed on the 22nd (local time) that it has entered into a new strategic collaboration with OpenAI and intends to invest as much as $100 billion. With this funding, NVIDIA will assist in building a 10-gigawatt (GW) data center utilizing its cutting-edge AI chips to train and implement OpenAI’s models. A 10-GW capacity is comparable to 10 nuclear power plants, and Jensen Huang, CEO of NVIDIA, mentioned, “Constructing a data center of this size requires between 4 million and 5 million graphics processing units (GPUs).”

Bloomberg News, based on information from sources, stated that NVIDIA will obtain shares of OpenAI as part of this agreement. Bryn Tokington, a managing partner at Renaissance Capital Management, commented on CNBC, “The $100 billion investment NVIDIA makes in OpenAI will be recouped by NVIDIA through semiconductor purchasing expenses as OpenAI develops extensive data centers.” Specifics of the collaboration are anticipated to be completed in the coming weeks, with operations aiming for the second half of 2026.

This partnership holds significance as the two companies that spearheaded the AI revolution have come together. NVIDIA’s ascent to the top of the global market capitalization was set in motion by OpenAI’s public launch of ChatGPT-3.5 in late November 2022. This event signified the start of the widespread AI era, resulting in a sharp increase in demand for NVIDIA’s chips.

On the other hand, OpenAI enhanced its AI technology and facilitated the training of ChatGPT by utilizing NVIDIA’s high-performance AI chips, which are crucial for AI development.

Sam Altman, the head of OpenAI, stated, “Everything begins with computing,” and further mentioned, “The computing infrastructure will serve as the base for the future economy, and we will leverage our developments with NVIDIA to drive new AI advancements and provide them widely to individuals and companies.” Huang remarked, “This is an enormous endeavor, with its scope being truly significant.”

Amid reports of the partnership with OpenAI, NVIDIA’s share value increased by more than 3% on the New York Stock Exchange in comparison to the prior trading session.