Nvidia is the key player in AI revolution and its impact is not just about making high-performance GPUs. It has transformed into one of the most active investors in AI startups over the period of last two years.
Nvidia’s fortunes have skyrocketed since the introduction of ChatGPT. Stock price soared by at least 8x and profits were at record highs. Such financial success allowed it to channel resources into startups that are driving the AI ecosystem forward.
Nvidia participated in 49 funding rounds for AI companies in 2024 and it was up from 34 in 2023. It funded only 38 AI deals in the four years before 2023. Its corporate venture arm NVentures also ramped up activity revealing the seriousness of Nvidia in shaping the future of AI.
The approach of Nvidia is interesting and it is about how it identifies and supports startups. Nvidia invested in OpenAI’s $6.6 billion round and Elon Musk’s xAI that raised $6 billion. Both the investments highlight its willingness to bet big on the future of generative AI.
Other notable investments of Nvidia include Inflection AI that raised $1.3 billion and Scale AI that secured $1 billion to help companies train AI models with high-quality data. Nvidia has also backed companies like Wayve that is working on self-learning systems for autonomous driving and AI cloud provider CoreWeave.
Nvidia seems viewing AI as more than just a trend but simultaneously it is also betting on it as the foundation of the future. It is riding the AI wave and also actively steering it by backing innovative startups.
