Nvidia is buying their own chips and counting it as a sale. In exchange they’re maybe getting OpenAI stock that will be worth more in the future. Normally this would count as illegally cooking the books I think but if the OpenAI investment pays off no one will care.

What if it doesn't?

Still unlikely they’d get prosecuted because they’re not trying to hide how they’re doing this and there’s no reasonable expectation that OpenAI is likely to fold. I doubt they’d improperly record this in their accounting ledger either.

It's a good question since it's probably the 99% case.

Perhaps it means OpenAI will pay for the graphics card in stock? Nvidia would become an investor in OpenAI thereby moving up the AI value chain as well as ensuring demand for GPUs, while OpenAI would get millions of GPUs to scale their infrastructure.

They're investing in kind. They're paying with chips instead of money

They will transfer the money to buy their own chips right before each chip is purchased

That they will invest 10$ in OpenAI for each W of NVIDIA chips that is deployed? EDIT: In steps of 1GW it seems.

I am confused as to what the question is.

so nvidia's value supported by the value of AI companies, which nvidia then supports?

It means this is a bubble, and Nvidia is hoping that their friends in a white house will keep them from being prosecuted, of at least from substantial penalties.

> What does this mean?

> to invest up to

i.e. 0 to something something