Artificial Intelligence: Nvidia and Wall Street Collect Half a Trillion Dollars for AI

The chip company Nvidia and Wall Street financial heavyweights want to mobilize at least half a trillion dollars for investments in AI infrastructure. The project involves attracting investor money on a large scale for funds to expand data centers with chip systems from Nvidia. The partnership includes, among others, Goldman Sachs and the investment firms Apollo, Blackrock, and KKR. There were initially no details on the period over which the more than $500 billion (433 billion euros) are to be collected.

Nvidia benefits Nvidia is by far the leading provider of chip systems for training and operation of artificial intelligence. Especially cloud heavyweights such as Amazon, Google, Microsoft, and Meta are currently investing hundreds of billions of dollars in the expansion of AI data centers. The new funds are to benefit, among other things, AI laboratories and start-ups, said Nvidia CEO Jensen Huang on the US economic channel CNBC.

Nvidia bought into AI companies itself in recent months, which in return invest the proceeds in technology from the chip company. These circular deals were viewed with concern by some in the market. Expensive expansion Huang pointed out that when building data centers, around $50 to $60 billion must be spent per gigawatt of power consumption.

Blackrock CEO Larry Fink emphasized that the US alone would need AI data centers with a capacity of more than 70 gigawatts according to current estimates. Goldman Sachs CEO David Solomon acknowledged that there will be winners and losers in the AI competition. However, the partners expect computer capacity to establish itself as an investment category.