Nvidia invests billions in AI data centers and cloud providers

The chipmaker Nvidia is making major investments to expand its role in artificial intelligence infrastructure. Recent filings and announcements show the company plans to spend $26 billion to develop open-weight AI models and has invested $2 billion in the AI data center specialist Nebius for a new data center deal. Nvidia is also taking equity stakes in other AI cloud providers to secure its position in the growing market for AI computing power.

These moves come as other major tech companies are also racing to build their own AI hardware. Meta, for example, is preparing to deploy four new custom-designed chips to handle its AI workloads internally. The announcements highlight how critical and expensive the underlying computing infrastructure for AI has become, with companies investing heavily to avoid bottlenecks and reduce costs.

For now, Nvidia's graphics processing units (GPUs) remain the industry standard for training and running large AI models. Its series of investments in cloud partners and data centers is a strategy to ensure its chips remain at the center of the AI boom by controlling more of the supply chain and deployment ecosystem.