Overview

• Nvidia and OpenAI agreed to a non‑binding framework to deploy at least 10 gigawatts of AI data‑center capacity, with funding of up to $100 billion disbursed progressively as each gigawatt comes online.
• The arrangement includes an equity stake for Nvidia in OpenAI and designates Nvidia as OpenAI’s preferred strategic compute and networking partner for training and inference.
• The agreement is non‑exclusive, leaving Nvidia free to support other AI firms such as Anthropic or xAI.
• Wall Street largely turned more positive: Barclays raised its Nvidia price target to $240 and Mizuho reiterated Outperform at $205, while DA Davidson kept a Buy at $210 but warned Nvidia may be acting as an “investor of last resort.”
• Buildout timelines extend over years, with the first 1 GW expected in late 2026, and Barclays estimates roughly $2 trillion in AI initiatives across about 40 GW over the next four to five years, with 65%–70% of spending directed to compute and networking.