Nvidia to Invest $100 Billion in OpenAI, Fueling AI expansion
SAN FRANCISCO (February 22, 2024) – Nvidia announced today a planned $100 billion investment in OpenAI, the artificial intelligence research and deployment company behind ChatGPT, to dramatically expand its computing power and accelerate the advancement of increasingly sophisticated AI models. The massive investment signals a deepening partnership between the two tech giants as demand for AI capabilities surges globally.
openai, founded as a nonprofit in 2015, operates through a unique corporate structure where its nonprofit board retains control of a for-profit subsidiary responsible for developing and selling its AI products. This structure is currently the subject of a lawsuit brought by Elon Musk, a co-founder who alleges OpenAI has strayed from its original mission to develop AI for the benefit of humanity. The investment from Nvidia will be critical to OpenAI’s ability to meet the growing demands of its 700 million weekly active users and continue innovating in the rapidly evolving AI landscape.
The deal comes as OpenAI faces increasing scrutiny regarding the safety of its technologies, particularly for young people. Attorneys general from california and Delaware recently expressed ”serious concerns” about ChatGPT, citing “deeply troubling reports of dangerous interactions” with users, including the tragic suicide of a 16-year-old Californian following prolonged engagement with an OpenAI chatbot. The boy’s parents filed a lawsuit against OpenAI and CEO Sam Altman last month.
This investment also arrives amid a broader industry push to secure access to the specialized chips needed to power AI. Just last week, Nvidia announced a $5 billion investment in Intel, a competitor struggling to meet the escalating demand for artificial intelligence hardware. Nvidia’s commitment to OpenAI underscores the critical role of computing infrastructure in the future of AI development and deployment.
