In September 2025, Nvidia and OpenAI announced a letter of intent for Nvidia to invest up to $100 billion in OpenAI’s AI infrastructure. At the time, the companies said they expected to finalize details “in the coming weeks.” Five months later, no deal has closed, Nvidia’s CEO now says the $100 billion figure was “never a commitment,” and Reuters reports that OpenAI has been quietly seeking alternatives to Nvidia chips since last year.
Reuters also wrote that OpenAI is unsatisfied with the speed of some Nvidia chips for inference tasks, citing eight sources familiar with the matter. Inference is the process by which a trained AI model generates responses to user queries. According to the report, the issue became apparent in OpenAI’s Codex, an AI code-generation tool. OpenAI staff reportedly attributed some of Codex’s performance limitations to Nvidia’s GPU-based hardware.
After the Reuters story published and Nvidia’s stock price took a dive, Nvidia and OpenAI have tried to smooth things over publicly. OpenAI CEO Sam Altman posted on X: “We love working with NVIDIA and they make the best AI chips in the world. We hope to be a gigantic customer for a very long time. I don’t get where all this insanity is coming from.”
What happened to the $100 billion?
The September announcement described a wildly ambitious plan: 10 gigawatts of Nvidia systems for OpenAI, requiring power output equal to roughly 10 nuclear reactors. Nvidia CEO Jensen Huang told CNBC at the time that the project would match Nvidia’s total GPU shipments for the year. “This is a giant project,” Huang said.
But the deal was always a letter of intent, not a binding contract. And in recent weeks, Huang has been walking back the number. On Saturday, he told reporters in Taiwan that the $100 billion was “never a commitment.” He said OpenAI had invited Nvidia to invest “up to” that amount and that Nvidia would “invest one step at a time.”
“We are going to make a huge investment in OpenAI,” Huang said. “Sam is closing the round, and we will absolutely be involved. We will invest a great deal of money, probably the largest investment we’ve ever made.” But when asked if it would be $100 billion, Huang replied, “No, no, nothing like that.”