Nvidia's $100 billion investment in OpenAI has investors questioning whether we're seeing too much circular investing: companies using their free cash flow to give their biggest customers money that will make a round trip back home.

O NE THING is clear about the announcement on September 22nd that Nvidia may invest up to $100bn in Open AI in order to help the maker of Chat GPT buy 4m-5m of Nvidia’s artificial-intelligence ( AI) chips. Silicon Valley is becoming more incestuous than ever.

But Nvidia, in this one recent move, has shown its strength as the central player in the AI market. The company aims to invest as much as $100 billion in Open AI amid a buildout of the lab's data centers. This partnership could become the biggest profit engine in AI history -- and secure Nvidia's AI empire. Let's check it out.

A supply chain analysis shows the likelihood of labor shortages and a heavy reliance on foreign companies to make components for data centers and power plants

Chipmaker Nvidia will invest $100 billion in OpenAI as part of a partnership announced Monday that will add at least 10 gigawatts of Nvidia AI data centers to ramp up the computing power for the owner of the artificial intelligence chatbot ChatGPT.