According to CNBC, AI chip giant Nvidia (NVDA-US) has made substantial investments in several leading artificial intelligence labs, including a $30 billion equity stake in OpenAI earlier this year.
Nvidia CEO Jensen Huang said that given the expectation that these AI companies are poised for initial public offerings (IPOs), the company should have adopted a more aggressive investment strategy.
Speaking during the company's earnings call on Wednesday (26th), Huang said, "Investing in these companies was a once-in-a-lifetime opportunity. My only regret is that I didn't invest more and earlier."
Huang believes OpenAI and Anthropic "may go public very soon, and others will follow."
Nvidia reported its fiscal 2027 second-quarter earnings after market close on Wednesday, exceeding market expectations with strong forward guidance, driving its stock price higher in after-hours trading.
The company's net profit for the second quarter rose more than double year-on-year from $24.76 billion, or $1.87 per share, to $53.95 billion, or $2.22 per share. This includes $7.8 billion in equity investment gains, down from $15.9 billion in the previous quarter.
The AI chipmaker has made significant investments in companies including Intel (INTC-US) and SpaceX (SPCX-US).
FACT BOX
- Source: PR Times
- Category: Funding
- Organizations: OpenAI / Intel / SpaceX
- Products / services: GPU