Nvidia Plans $100B Investment in OpenAI Boosting AI Data Center Expansion

Nvidia announced a landmark partnership with OpenAI involving up to $100 billion in investment to build at least 10 gigawatts of AI data center capacity using Nvidia's hardware, with the first phase expected in 2026. This deal significantly boosted Nvidia stock by as much as 5%, contributing to gains in major indexes including the Nasdaq and S&P 500, which hit record highs. The partnership underscores continued strong momentum in AI technology and infrastructure, signaling confidence in AI's growth despite earlier market concerns. Nvidia CEO Jensen Huang highlighted the decade-long collaboration with OpenAI, emphasizing their joint progress from early supercomputers to ChatGPT. The scale of the planned data centers dwarfs existing projects, with OpenAI aiming to deploy compute capacity far exceeding current major AI facilities such as Meta's. The announcement also spurred positive sentiment in other AI hardware companies and reinforced Nvidia's rapid expansion in AI investments, including recent stakes and deals with Intel and CoreWeave.