Nvidia Pledges Up to $100B to OpenAI, Co-Building 10GW of AI Data Centers

Nvidia and OpenAI announced a sweeping partnership that pairs cash with compute: up to $100 billion in staged Nvidia investment and at least 10 gigawatts (GW) of Nvidia-powered AI data centers to expand OpenAI’s capacity. The first 1GW is targeted for installation in the second half of 2026.

What’s new

• Nvidia will become a strategic investor in OpenAI, with funding tied to the rollout of each 1GW tranche of infrastructure.
• The buildout envisions “millions” of next‑generation Nvidia GPUs across multiple facilities totaling 10GW—roughly the output of about ten nuclear reactors.
• OpenAI will prioritize Nvidia for compute, networking, and AI factory initiatives as the systems come online.
• Initial deployment milestone: 1GW in H2 2026, with further phases following based on progress.

Under the hood

• Scale: ≥10GW of AI data center capacity purpose-built for training and inference of frontier models.
• Hardware: “Millions” of next‑gen Nvidia GPUs (part of the company’s evolving accelerator roadmap) plus high‑speed interconnects.
• Financing: Up to $100B, disbursed progressively as capacity is deployed; structure links capital to infrastructure milestones.

Why it matters

• Supply-side shock: The buildout could materially ease compute constraints for frontier AI, accelerating OpenAI’s model roadmap and services like ChatGPT.
• Market impact: A deeper OpenAI‑Nvidia alignment reinforces Nvidia’s end‑to‑end role in AI—chips, networking, and software—potentially extending its lead over rival accelerator vendors.
• Ecosystem effects: Expect knock‑on demand for power, cooling, and high‑density data center real estate as 10GW phases roll out.

What’s next

• Timeline: First 1GW online in H2 2026; additional tranches to follow as sites, power, and hardware are secured.
• Watchpoints: Grid interconnects, component supply, and regulatory/permitting paths will determine how quickly the remaining capacity materializes.
• Competitive response: Hyperscalers and AI labs may accelerate their own multi‑GW plans or deepen supplier diversification.

In short, this deal knits together capital and compute at unprecedented scale. If Nvidia and OpenAI hit their milestones, the 10GW program could meaningfully reshape AI infrastructure economics—and the pace at which new, more capable models reach users.