Nvidia shares dip as uncertainty swirls around OpenAI investment

February 3, 2026 Nvidia’s stock edged lower Monday after reports suggested uncertainty around the chipmaker’s much-publicized plan to invest up to US$100 billion in OpenAI. The company’s shares were down about 1.1 per cent late Monday morning.

Earlier in September, Nvidia and OpenAI announced that Nvidia would help build at least 10 gigawatts of computing capacity for OpenAI and could invest as much as US$100 billion. But a Wall Street Journal report that cited people familiar with the matter said negotiations with OpenAI had not yet solidified.

According to the Journal, Nvidia chief executive Jensen Huang later described the figure as nonbinding and expressed concerns privately about competitive pressures and OpenAI’s business discipline.

Over the weekend, Huang pushed back against suggestions of discord, dismissing claims that he was unhappy with OpenAI and reaffirming Nvidia’s intention to participate in the funding round. He, however, emphasized the investment would not exceed US$100 billion.

“We are going to make a huge investment in OpenAI,” Huang said in remarks reported by Bloomberg, describing the company as one of the most consequential of the era and praising his working relationship with OpenAI chief executive Sam Altman. He added that Nvidia expects to be involved as Altman finalizes the current funding round and that the commitment would likely be the company’s largest investment to date.

Market observers say the lack of a fixed dollar figure is what appears to be unsettling investors. Sarah Kunst, managing director at Cleo Capital, said on CNBC that Huang’s emphasis on scale rather than a precise number stood out. She noted that such public back-and-forth is unusual in late-stage investment talks.

Analysts also pointed to broader structural concerns in the AI sector. Wedbush analyst Dan Ives said Huang’s public clarification appears partly aimed at addressing worries about “circular financing,” where major AI players invest heavily in one another, potentially obscuring true profitability.

Ives said Nvidia is also navigating a complex competitive landscape, as its chips underpin not only OpenAI but rivals backed by firms such as Alphabet and startups like Anthropic.

Despite the mixed signals, Ives said he expects Nvidia to proceed with a substantial investment close to the upper end of earlier projections, arguing that both companies stand to benefit as demand for AI infrastructure continues to surge.

Top Stories

Related Articles

April 30, 2026 OpenAI is projecting an 80 per cent decline in its $20-per-month ChatGPT Plus subscriber base, falling from more...

April 30, 2026 Accenture is rolling out Microsoft 365 Copilot to about 743,000 employees worldwide, the largest enterprise deployment of more...

April 30, 2026 A series of lawsuits filed in California allege OpenAI failed to alert law enforcement about a credible more...

April 30, 2026 Maryland has become the first U.S. state to ban surveillance pricing in grocery stores, prohibiting retailers from more...

Picture of Mary Dada

Mary Dada

Mary Dada is the associate editor for Tech Newsday, where she covers the latest innovations and happenings in the tech industry’s evolving landscape. Mary focuses on tech content writing from analyses of emerging digital trends to exploring the business side of innovation.
Picture of Mary Dada

Mary Dada

Mary Dada is the associate editor for Tech Newsday, where she covers the latest innovations and happenings in the tech industry’s evolving landscape. Mary focuses on tech content writing from analyses of emerging digital trends to exploring the business side of innovation.

Jim Love

Jim is an author and podcast host with over 40 years in technology.

Share:
Facebook
Twitter
LinkedIn