Nvidia Invests $7 Billion in Poolside AI to Compete with OpenAI, DeepSeek, and Kimi
Nvidia has entered a significant partnership with Poolside by investing $6 billion for an exclusive license of its AI technology and committing another $1 billion investment at a pre-money valuation of $12 billion. The deal is expected to bolster Nvidia's open-weight AI initiatives through the integration of over 100 Poolside employees into its Nemotron project, aiming to advance artificial general intelligence (AGI) as an openly accessible system. This strategic move positions Nvidia against major rivals such as OpenAI and Anthropic in the U.S., along with Chinese developers like DeepSeek and Kimi. The collaboration aligns with CEO Jensen Huang's focus on open-weight AI models, which offer greater flexibility compared to closed systems. Poolside will maintain its independence while continuing research under founders Eiso Kant and Jason Warner. Nvidia shares showed slight volatility around the news but remain strong in growth metrics according to Benzinga Edge Rankings.
Tickers: $NVDA
Topics: AI Competition in AI Nemotron Project Open-Weight Models