Financial News

Jensen Huang explains why Nvidia’s latest partnership with OpenAI is different

7 October 2025

In an interview with CNBC’s Jim Cramer, Nvidia CEO Jensen Huang discussed his company’s new deal with OpenAI, saying it’s the first “direct partnership” with the ChatGPT maker.

“This is a partnership that, for the first time, OpenAI is going to buy directly from us,” Huang said. “Usually…a cloud service provider buys from us, and they rent from a cloud service provider. And so now it’s going to be a direct partnership.”

Nvidia announced in September it plans to invest up to $100 billion in OpenAI to build out artificial intelligence data center capacity. The companies said OpenAI is seeking to build and deploy Nvidia systems that require 10 gigawatts of power. Huang previously told CNBC that 10 gigawatts is equal to between 4 million and 5 million GPUS.

OpenAI and Nvidia are two of the biggest drivers of the AI boom. Demand for Nvidia’s chips started to explode after OpenAI first released ChatGPT three years ago — and largely popularized mainstream use of generative AI. Nvidia’s market capitalization has more than tripled over the past few years. It has become the most valuable company on the market, as well as the first stock ever to top $4 trillion.

Huang spoke with Cramer at the CNBC Investing Club’s Monthly Meeting, which was held Tuesday afternoon at the New York Stock Exchange. The interview, parts of which also aired on the evening’s episode of “Mad Money,” saw Huang and Cramer also discuss China, global trade and key partnerships with AMD and Intel.

Huang told Cramer that Nvidia’s OpenAI partnership is “incremental” to the work the company has done with other AI names such as Oracle and CoreWeave.

“We’re going to help them build an AI infrastructure that they operate themselves … and really set them up for, you know, five years out, when they’re going to operate their own cloud anyhow,” Huang said.