NVIDIA, Amazon, and Microsoft are reportedly engaged in discussions to invest up to $60 billion collectively in OpenAI, according to a report by The Information on Wednesday. NVIDIA, an existing investor whose chips power many of OpenAI’s AI models, is said to be considering an investment of as much as $30 billion. Microsoft, a long-standing backer of OpenAI, is reportedly negotiating to contribute less than $10 billion, while Amazon, potentially joining as a new investor, could invest significantly more than $10 billion, with some estimates suggesting it may exceed $20 billion.
OpenAI is reportedly close to receiving formal term sheets or investment commitments from these major technology firms. The negotiations with Amazon might also involve separate talks around expanding the cloud server rental agreement between the companies and commercial partnerships. This would include the potential for OpenAI to market its AI-driven products, such as enterprise ChatGPT subscriptions, directly to Amazon, enhancing integration and commercial reach.
While Amazon and Microsoft declined to comment on the ongoing negotiations, neither NVIDIA nor OpenAI responded to Reuters’ inquiries outside regular business hours. The report remains unverified by Reuters as of now, leaving some details tentative. This new round of funding discussions follows earlier reports indicating that SoftBank Group is also in talks to increase its stake in OpenAI, possibly by up to $30 billion.
OpenAI faces rising costs related to the training and operation of its AI models, a situation compounded by intensifying competition from Google’s AI initiatives under Alphabet. The additional investments from these tech giants would likely help OpenAI scale its infrastructure and develop its AI capabilities to maintain a competitive edge in the rapidly evolving market.
These negotiations highlight the increasing significance of AI technologies in the global technology landscape, with major players seeking to secure strategic stakes in companies like OpenAI, which are at the forefront of AI innovation. The involvement of NVIDIA, Amazon, and Microsoft underscores the importance of combining hardware capabilities, cloud infrastructure, and AI software development to meet growing demands for advanced AI applications across industries.
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