{"id":43895,"date":"2026-01-26T18:11:56","date_gmt":"2026-01-26T18:11:56","guid":{"rendered":"https:\/\/agooka.com\/news\/usa\/jensen-huang-says-its-ridiculous-to-say-nvidias-2-billion-investment-in-coreweave-is-another-circular-deal\/"},"modified":"2026-01-26T18:11:56","modified_gmt":"2026-01-26T18:11:56","slug":"jensen-huang-says-its-ridiculous-to-say-nvidias-2-billion-investment-in-coreweave-is-another-circular-deal","status":"publish","type":"post","link":"https:\/\/agooka.com\/news\/usa\/jensen-huang-says-its-ridiculous-to-say-nvidias-2-billion-investment-in-coreweave-is-another-circular-deal\/","title":{"rendered":"Jensen Huang says it&#8217;s &#8216;ridiculous&#8217; to say Nvidia&#8217;s $2 billion investment in CoreWeave is another circular deal"},"content":{"rendered":"<figure><img decoding=\"async\" src=\"https:\/\/i.insider.com\/69779158d3c7faef0ecce9ff?format=jpeg\" alt=\"Jensen Huang speaks during the World Economic Forum\"\/><figcaption>Nvidia CEO Jensen Huang<\/p>\n<p>Markus Schreiber\/AP<\/p>\n<\/figcaption><\/figure>\n<ul>\n<li>Nvidia CEO Jensen Huang pushed back on criticism of the chipmaker&#039;s investment structures.<\/li>\n<li>Huang said its latest investment in CoreWeave was not a circular deal.<\/li>\n<li>Chipmakers&#039; investments in leading tech companies, which are also customers, have raised worries about an AI bubble.<\/li>\n<\/ul>\n<p>Nvidia CEO Jensen Huang is done with the questions about circular financing.<\/p>\n<p>Huang called it &quot;ridiculous&quot; to suggest that Nvidia&#039;s latest deal, a $2 billion investment in CoreWeave, is the latest circular deal between AI chipmakers and tech companies, a trend that has sparked some concern among some investors.<\/p>\n<p>&quot;These are generational companies \u2014 the investments that we make is confidence in them,&quot; Huang told Bloomberg News. &quot;But it&#039;s a small percentage of the amount of money that they ultimately have to go raise, and so the idea that it is circular is \u2014 it&#039;s ridiculous.&quot;<\/p>\n<p>As part of the arrangement, Nvidia is expanding its previous investment in the cloud company by buying $2 billion worth of its shares. According to a joint statement, the money will assist CoreWeave&#039;s &quot;procurement of land, power, and shell to build AI factories.&quot; The future AI factories will then be powered by Nvidia&#039;s chips.<\/p>\n<p>Huang portrayed the latest deal and past arrangements with the likes of OpenAI, Anthropic, and Elon Musk&#039;s xAI as just a small portion of what the companies need to raise to finance their massive AI expansion plans. For example, OpenAI is committed to spending roughly $1.4 trillion over the next eight years, largely on data centers.<\/p>\n<p>&quot;Whatever we decide to invest is a small percentage, very small percentage of the overall amount of infrastructure, capital they&#039;re going to have to raise,&quot; Huang told CNBC in a separate interview.<\/p>\n<p>This is far from the first time Nvidia has bristled at concerns about its deals.<\/p>\n<p>In November, the world&#039;s largest company by market cap sent a letter to Wall Street analysts in response to investor Michael Burry of &quot;The Big Short&quot; fame, who has questioned whether Nvidia was on solid financial footing.<\/p>\n<p>&quot;Nvidia&#039;s underlying business is economically sound, our reporting is complete and transparent, and we care about our reputation for integrity,&quot; the memo said.<\/p>\n<p>Burry has said he stands behind his analysis of the company, comparing it to one of Silicon Valley&#039;s giants before the Dotcom crash.<\/p>\n<p>&quot;I am not claiming Nvidia is Enron,&quot; he wrote on his Substack. &quot;It is clearly Cisco.&quot;<\/p>\n<p>Read the original article on Business Insider<\/p>\n","protected":false},"excerpt":{"rendered":"<p>Nvidia CEO Jensen Huang Markus Schreiber\/AP Nvidia CEO Jensen Huang pushed back on criticism of the chipmaker&#039;s investment structures. Huang said its latest investment in CoreWeave was not a circular deal. Chipmakers&#039; investments in leading tech companies, which are also customers, have raised worries about an AI bubble. Nvidia CEO Jensen Huang is done with [&hellip;]<\/p>\n","protected":false},"author":1,"featured_media":43896,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[20],"tags":[],"class_list":{"0":"post-43895","1":"post","2":"type-post","3":"status-publish","4":"format-standard","5":"has-post-thumbnail","7":"category-usa"},"_links":{"self":[{"href":"https:\/\/agooka.com\/news\/wp-json\/wp\/v2\/posts\/43895","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/agooka.com\/news\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/agooka.com\/news\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/agooka.com\/news\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/agooka.com\/news\/wp-json\/wp\/v2\/comments?post=43895"}],"version-history":[{"count":0,"href":"https:\/\/agooka.com\/news\/wp-json\/wp\/v2\/posts\/43895\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/agooka.com\/news\/wp-json\/wp\/v2\/media\/43896"}],"wp:attachment":[{"href":"https:\/\/agooka.com\/news\/wp-json\/wp\/v2\/media?parent=43895"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/agooka.com\/news\/wp-json\/wp\/v2\/categories?post=43895"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/agooka.com\/news\/wp-json\/wp\/v2\/tags?post=43895"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}