Nvidia CEO Says $30B OpenAI Stake Likely Final Before IPO
Nvidia CEO Jensen Huang indicated the company’s $30 billion equity investment in OpenAI—raised at a $730 billion pre-money valuation—might be its last before OpenAI’s IPO. He also expects no further investments in Anthropic after its $10 billion stake.
1. Final OpenAI Investment Indicated
At a recent industry conference, Nvidia CEO Jensen Huang stated that the company's $30 billion equity investment in OpenAI—valued at a $730 billion pre-money valuation—could be its last injection before OpenAI’s initial public offering.
2. Shift From $100 Billion Infrastructure Deal
This latest commitment marks a pivot from the non-binding $100 billion infrastructure proposal originally outlined in September, transitioning Nvidia from planning large-scale compute deployment to securing direct equity in OpenAI's current funding round.
3. Anthropic $10 Billion Stake Closure
Huang also noted that Nvidia’s $10 billion investment in OpenAI competitor Anthropic, made alongside Microsoft, will likely represent its final capital allocation to that startup as well.
4. Criticism Over Funding Structure
Hedge fund manager George Noble labeled the funding round “borderline criminal,” arguing that vendor financing disguised as venture capital compels participants like Nvidia and Amazon to commit hardware and services in exchange for equity.