NVIDIA CEO Jensen Huang: May have halted additional investments in OpenAI and Anthropic due to IPO factors and market strategies

On March 6, NVIDIA CEO Jensen Huang stated at the Morgan Stanley Technology, Media, and Telecom Conference in San Francisco that the company may have stopped additional investments in AI giants OpenAI and Anthropic. This announcement has sparked widespread market attention regarding funding strategies for AI startups and risks in the chip supply chain.

Huang noted that NVIDIA previously completed a $30 billion investment in OpenAI, significantly reduced from the $100 billion plan announced last year, and that the $1 billion investment in Anthropic in November last year may have been the final one. The official explanation is that both companies plan to go public later this year, and private investments typically cease before an IPO, aligning with normal financing practices. Huang said, “This may be our last investment in such strategically important AI companies.”

However, market observers believe that NVIDIA’s decision to halt further investments involves more than just IPO procedures; it also reflects its strategy to remain neutral in the AI competition landscape. OpenAI and Anthropic are fiercely competing and confronting Washington. After Anthropic refused to use Claude for military or large-scale domestic surveillance, Trump ordered federal agencies to stop using its technology; subsequently, OpenAI announced an agreement with the Pentagon, sparking public support for Anthropic, whose app quickly rose to the top of the free charts in the US Apple App Store.

Additionally, Huang mentioned a cyclical investment model that has attracted attention: NVIDIA invests in OpenAI, while OpenAI purchases its high-performance GPUs, creating a potential risk in this capital and supply chain cycle. As an AI hardware provider, NVIDIA needs to maintain neutrality among competitors like OpenAI, Anthropic, xAI, and Google to avoid favoritism that could raise concerns among clients and regulators.

Overall, NVIDIA’s adjustment of its investment strategy is influenced by IPO timing and reflects a market consideration to remain flexible in the face of AI startup funding and sensitive defense technology fields. This move could have far-reaching impacts on future AI ecosystem financing, chip sales, and corporate competition patterns.