Nvidia Bets USD 100 Billion on OpenAI’s Next Leap

Can Nvidia’s USD 100 Billion AI Investment Deliver Sustainable Profits?

Nvidia (NASDAQ: NVDA) has just taken its most ambitious step yet in the race to power artificial intelligence. In partnership with OpenAI, the chipmaker announced a USD 100 billion investment to build out massive data centers capable of delivering ten gigawatts of computing power. To put that into perspective, it is the equivalent energy use of around eight million U.S. homes.

This move highlights one of the biggest questions in markets today. Can ever-increasing computing power keep pushing AI models forward, or are we reaching the limits of what scale alone can achieve? Investors are being asked to place a bet on whether extraordinary spending will ultimately translate into sustainable profits, despite mounting skepticism about diminishing returns.

What makes this partnership especially intriguing is its circular nature. OpenAI will use Nvidia’s investment to buy Nvidia’s chips, turning balance sheet cash into revenue in a way that raises both optimism and concern about the real demand for AI infrastructure.

The stakes could not be higher. If Nvidia is right, it could reinforce its dominance as the backbone of the AI economy. If the skeptics are right, the cracks in the AI investment frenzy may begin to show.

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Wall Street Crowns OpenAI as the Catalyst of the AI Trade

Following the announcement, Nvidia’s shares rose by 4 percent, lifting its market capitalisation to approximately USD 4.5 trillion. By comparison, Oracle’s stock surged more than 30 percent on news of its own partnership with OpenAI, despite that deal being three times larger in size. Taken together, these developments underscore how OpenAI has become central to the AI investment narrative, with each major agreement reinforcing its position at the core of the current boom.

Nvidia Bets Big on Rubin Platform With Bold Revenue Claims

The first phase of this project is expected to begin in late 2026, powered by Nvidia’s next-generation Vera Rubin platform. At its core will be the new Rubin CPX chips, designed specifically for highly demanding AI workloads. The platform is expected to deliver up to 8 exaflops of computing power, enabling billions of calculations every second, supported by vast memory capacity. 

Nvidia has gone further to suggest that an investment of USD 100 million in this system could generate as much as USD 5 billion in revenue from AI services. While ambitious, this projection highlights the company’s confidence in the commercial potential of its latest technology.