By CIO Insider Team
 

Nvidia is close to finalizing an investment of about $20 billion in OpenAI as part of its latest funding round, according to reports.

ChatGPT maker OpenAI is looking to raise up to $100 billion in its latest funding round, valuing it at about $830 billion.

Companies including Amazon and SoftBank Group Corp are racing to forge partnerships with OpenAI, betting that closer ties with the artificial-intelligence startup would give them a competitive edge in the AI race. The Nvidia-OpenAI deal is not finalized yet.

The news comes days after the Wall Street Journal reported that Nvidia's September plan to invest $100 billion in OpenAI and supply it with data center chips had stalled after the chipmaker expressed doubts about the deal.

The deal had been expected to close within weeks, but negotiations have dragged on for months.

Nvidia CEO Jensen Huang has denied claims he was unhappy with the ChatGPT maker and said on Saturday that the company plans to make a "huge" investment in OpenAI, probably its largest ever.

Reports denote that Huang said that Nvidia would consider investing in OpenAI's next fundraising round and the startup's eventual initial public ⁠offering.

However, reports also indicate that OpenAI is unsatisfied with some of Nvidia’s latest AI chips, and it has sought alternatives since last year, potentially complicating their relationship.

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OpenAI Chief Executive Sam Altman said that Nvidia makes "the best AI chips in the world" and that the company hopes to remain a "gigantic customer for a very long time".

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The potential investment underscores Nvidia’s strategic push to deepen its role across the AI ecosystem, even as competition intensifies among chipmakers and cloud giants seeking influence over foundational AI models.

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Any deal with OpenAI would further cement Nvidia’s position at the center of the generative AI boom, despite lingering uncertainties around valuation, chip supply, and long-term collaboration terms.