Nvidia CEO Hints at Ending Investments in OpenAI and Anthropic

Huang Calls $30 Billion OpenAI Investment Potentially the Last

Nvidia CEO Jensen Huang revealed at a Morgan Stanley conference that the chipmaker's recent $30 billion investment in OpenAI "could be the last." The reason: Sam Altman's AI startup is preparing to go public.

According to Huang, a $100 billion deal that both companies had discussed in September 2025 is now "not feasible." He also noted that Nvidia's $10 billion investment in Anthropic will most likely be the final one for the same reason.

Why This Matters

Nvidia is the dominant supplier of computing hardware for the AI industry, and both OpenAI and Anthropic are among its largest customers. The potential end of direct equity investments from Nvidia signals a shift from deep strategic partnership toward a more conventional vendor-client dynamic.

The scaling back may also reflect growing scrutiny of last year's investment announcements. MIT Sloan professor Michael Cusumano described the original deal as "a waste" in an interview with the Financial Times, pointing to its circular nature: Nvidia invests $100 billion in OpenAI stock while the startup spends a comparable sum buying Nvidia chips.

The Unraveling of the Strategic Memorandum

In September 2025, Nvidia and OpenAI signed a memorandum of understanding covering not just the $100 billion investment but also the construction of 10 GW of AI infrastructure. Huang initially hailed the agreement as the next breakthrough in artificial intelligence. His tone shifted over time, however, as he grew critical of OpenAI's business strategy.

The timeline shows a gradual cooling:

• In November 2025, Nvidia's quarterly report indicated the previously announced investment might not materialize.
• In late January 2026, Wall Street Journal insiders reported the agreement had been "frozen," though Huang denied those claims.
• In its February quarterly report, Nvidia stated there were "no guarantees" a deal with Altman's company would close.

The $110 Billion Funding Round

OpenAI announced Nvidia's latest $30 billion contribution on February 27 as part of a broader $110 billion funding round. Other participants included SoftBank at $30 billion and Amazon at $50 billion.

Under the terms of this deal, OpenAI received additional computing capacity of 5 GW from Nvidia — half of the 10 GW originally promised.

Despite the likely halt to new investments, Nvidia retains significant equity stakes in both OpenAI and Anthropic. Both startups continue to rely heavily on Nvidia's technology and hardware.

OpenAI IPO on the Horizon

In October 2025, media reports indicated Altman's company was preparing for a public offering at a $1 trillion valuation. Sources cited by Reuters expect the filing to come in the second half of 2026. Huang has pointed to this upcoming IPO as the primary reason further direct investments from Nvidia into AI startups no longer make sense.