An ambitious plan by Nvidia Corp (NASDAQ:NVDA) to invest as much as $100 billion in OpenAI has reportedly stalled as internal doubts emerge.

Nvidia Rethinks Landmark OpenAI Deal

Nvidia's proposed investment in OpenAI has hit a roadblock after executives inside the chip giant raised concerns about the scope and structure of the deal, reported Wall Street Journal on Friday.

The semiconductor leader had announced in September plans to invest up to $100 billion in ChatGPT-maker, a move that would have strengthened ties between the companies while helping OpenAI fund massive data center expansion and secure access to advanced AI chips.

However, people familiar with the matter told the publication that Nvidia and OpenAI are now reassessing the future of their partnership.

Current discussions reportedly center on a significantly smaller equity investment — potentially in the tens of billions of dollars — as part of OpenAI's ongoing fundraising round.

An Nvidia spokesperson told Benzinga in an emailed statement that the company has been “OpenAI's preferred partner for the last 10 years. We look forward to continuing to work together.”

OpenAI did not immediately respond to Benzinga's request for comment.

Jensen Huang Signals Caution Behind The Scenes

Nvidia CEO Jensen Huang has privately said that the original $100 billion proposal was nonbinding and never finalized, the report said.

Huang has also expressed concerns about what he views as a lack of financial discipline at OpenAI, particularly as the company spends aggressively to scale infrastructure.

OpenAI Draws Intense Big Tech Interest

The talks come as OpenAI reportedly seeks to raise up to $100 billion at a valuation of roughly $830 billion.

Amazon is also in discussions to invest tens of billions of dollars in OpenAI, with the figure potentially reaching $50 billion, Reuters reported Thursday.

OpenAI Revenue Surges Past $20 Billion

Earlier this month, OpenAI disclosed that its annualized revenue run rate topped $20 billion in 2025, marking a 233% jump from 2024 and a sharp acceleration from the previous year, when revenue climbed from $2 billion in 2023 to $6 billion in 2024.

Despite the rapid growth, the company is reportedly burning more than $17 billion a year, with subscription revenue alone potentially insufficient to sustain its highly compute-intensive AI operations.

Price Action: Nvidia slid 0.49% in after-hours trading to $190.20, according to Benzinga Pro.

Despite the pullback, Nvidia holds a strong Quality rating in Benzinga's Edge Stock Rankings, supported by a positive price trend across short, medium and long-term time horizons.

Disclaimer: This content was partially produced with the help of AI tools and was reviewed and published by Benzinga editors.

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