Nvidia Eyes $2.5 Billion Investment in Thinking Machines Lab

Nvidia is reportedly in discussions to invest about $2.5 billion in Thinking Machines Lab, the artificial intelligence startup founded by former OpenAI executive Mira Murati, as the chip giant continues to expand its investments across the fast-growing AI sector.

Thinking Machines Lab is separately seeking to raise at least $1 billion in fresh funding at a valuation of approximately $40 billion, The Information reported Thursday, citing people familiar with the discussions. The potential fundraising would further strengthen the startup’s financial position as it develops advanced artificial intelligence technologies.

A $2.5 billion investment from Nvidia would deepen an existing partnership between the two companies. In March, Nvidia announced a collaboration with Thinking Machines Lab that included an investment as well as plans to provide the startup with at least 1 gigawatt of next-generation AI computing systems.

The reported talks highlight Nvidia’s broader strategy of investing in companies that could drive future demand for its AI chips, data-center hardware and computing infrastructure. As artificial intelligence companies race to build increasingly powerful models, demand for Nvidia processors and related systems has remained strong.

Nvidia has also become one of the technology industry’s most active investors in AI startups. According to TechCrunch, the semiconductor company has backed more than 100 artificial intelligence startups over the past two years, giving Nvidia exposure to a wide range of emerging AI businesses while potentially expanding the customer base for its hardware.

Thinking Machines Lab has attracted significant attention partly because of Murati’s background. She previously served as chief technology officer at OpenAI and briefly became the company’s interim CEO in 2023 before eventually leaving to establish her own AI venture.

The proposed Nvidia investment, however, remains under discussion. The Information cautioned that negotiations are ongoing and there is no guarantee that the companies will ultimately reach an agreement.

If completed, the deal would represent another major Nvidia AI investment and further strengthen its ties with Thinking Machines Lab as competition for computing capacity and advanced AI infrastructure intensifies.