You can see Nvidia stepping in throughout the ecosystem with confidence boosting investments where needed. They haven't just supported Anthropic and OpenAI.
If OpenAI and Anthropic succeed, and get their business fly-wheels fully spinning, they don't necessarily need more capital from Huang. Ultimately the goal of Nvidia is to profit from their long-term success by selling them GPUs for a long, long time. The goal isn't to keep plowing money into them forever.
ok, sounds obvious
> Nvidia, for its part, isn’t offering much more on the matter
ok, so no more news from nvidia
> Still, a few other dynamics might also explain the pullback..
Wait it's a pullback?
This is terrible reporting, right?
Super click baity.
https://nvidianews.nvidia.com/news/nvidia-announces-financia...
Gaming and CAD market are real expectations that latch to reality. Grow the education systems and grow both. So is matrix math, such as hashing.
AI has reached a state of software issue, not hardware. And the divergence of AI hardware does not equate to CAD and Gaming math.
Not if they expect build out of AI data centers to slow down. Once both OpenAI and Anthropic goes public there's going to be a pressure on them to either turn a profit or at least have the stock price go up. One way that can happen, if subscriptions, government contracts and ads aren't working, is cutting back on cost. Cutting costs means doing more with the existing GPUs and datacenters and running them for longer.
Even if the both companies can turn a profit, there's going to be a pressure to not spend on datacenters, if existing facilities can be pushed harder or used more efficiently.
OpenAI and Anthropic going public is going to mean reduced spend on datacenters and GPUs.
Nvidia is best known for selling huge volumes of GPUs to the hyperscalers & neoclouds, but I don't think lots of folks appreciate how many GPUs ISVs like Snowflake, Databricks, Teradata, etc consume, too, just by virtue of designing much of their internal products around CUDA & Nemotron.
I don't think it's as easy as others say, though.
Well, classically, to capture more margin for yourself. In business school they call this Vertical Integration. Samsung did exactly this. AWS too.
Are you suggesting they're lacking on the ultra-high-end? That is: 5-10M+ in comp to sign a single researcher/IC; industry rock star territory.
Major frontier AI labs do tend to have that type of talent in abundance. I'm sure NV has the equivalent when it comes to hardware design. Surely in AI research too, but perhaps not in the same quantities.
NVIDIA has released NVIDIA Deep Learning Super Sampling (DLSS) and a Frame Generation model, NVIDIA Super Resolution (VSR) being the most popular/well known models. (DLSS is outstanding technology, despite the sometimes misleading marketing).
Nvidia has released countless models:
Alpamayo 1 (Car navigation model) Cosmos-Reason2 (reasoning vision language model) Nemotron 3 (Large Language Model series) Llama-Nemotron (Large Language Model series) Isaac GR00T (VLA Models) Nemotron OCR (Optical Character Recognition models)
Take a look at their HuggingFace Collections, almost 100 different collections with countless models inside each collection: https://huggingface.co/nvidia/collections
Jensen is smart. He's gone through over 30 years of tech cycles.
Nvidia actively commoditizes the LLM models. Look at Nemotron. They've avoided making a SOTA model solely to keep the hyperscalers (aka crack addicts) coming back for more GPUs.
As soon as the bubble bursts, they can release some open weight NemoMambaDiffusiontron and keep folks buying GPUs to run the damn thing.
It still wouldn't be smart to do so, as this would fall into the common business pitfall of thinking you could easily do the next stack layer of work.
Nvidia rushed some investments in both companies just before they went public and are now are just waiting to get paid.
> [subtitle] Nvidia CEO Jensen Huang said the company’s recent $30 billion investment in OpenAI “might be the last time” it invests in the AI startup as it gears up to go public.
Jensen meant he expects no more rounds before IPO.
[0] https://www.cnbc.com/2026/03/04/nvidia-huang-openai-investme...
Nvidia is in position, and has the resources, to see this with a much broader lens, and realizes OpenAI/Anthropic won't be able to corner the market and the long term play is to sell GPUs to cloud providers and companies themselves.
Both companies will need Nvidia products regardless if Nvidia puts capital into the companies. So this is not 'pulling back' as the headline says.
That a signal that nobody should invest more in the IA big companies and now they MUST become profitable soon.
