OpenAI reportedly plans to buy Google AI chips, The Information says
The Information reported on October 27 that OpenAI plans to purchase Google’s tensor processing units (TPUs), a shift from its previous practice of renting them. Reuters noted that no financial terms were disclosed, and OpenAI declined to comment. This development follows reports in June 2025 that OpenAI had begun testing Google’s chips, though the company initially stated it had no plans for…
Key points
- The Information reported OpenAI plans to buy Google TPUs, shifting from renting to ownership.
- Nvidia stated OpenAI’s commitments total around 12 gigawatts, with a $600 billion opportunity through 2030.
- Nvidia’s supplier commitments increased to $279 billion in fiscal Q2 2027, reflecting supply constraints.
The report does not indicate that OpenAI is reducing its reliance on Nvidia, which remains a major supplier. In August, Nvidia stated that OpenAI’s commitments amount to approximately 12 gigawatts of computing power, with a potential opportunity value of about $600 billion through 2030. Additionally, Nvidia agreed to guarantees capped at $105 billion for an Ohio data center campus that will primarily house Nvidia hardware.
Nvidia’s stock showed little reaction to the news, trading around $218. The company’s CFO, Colette Kress, described the outlook as supply-constrained, with demand significantly outpacing production capabilities. Nvidia’s supplier commitments rose to $279 billion in the second quarter of fiscal 2027, up from $119 billion three months earlier. Analysts suggest that because Nvidia cannot currently meet all customer demand, the reported plan may not immediately impact its revenue.
The story so far
3 episodes →- OpenAI reportedly plans to buy Google AI chips, The Information saysthis story
OpenAI Reportedly Plans to Buy Google's AI Chips. Should You Sell Nvidia Stock?
fool.com · 28 October 2026
Loading the full article…
This text was published by fool.com and written by Daniel Sparks. It is reproduced here with attribution so you can read it in full; the rights remain with the publisher. Read it at the source ↗
The headline, key points and digest above were generated by Digest AI's editorial model from the linked sources. Automated summaries can contain errors: the sources are the record. Spotted a mistake? Tell us. Published by Martin K., who runs Digest AI and handles corrections.
More in Business & Funding
All →- Samsung Electronics reports third-quarter profit in line with estimates · 1 src
- Google to report Q3 results as investors focus on AI growth, weigh Meta Muse AI risk · 3 src
- Microsoft and Alphabet report AI spending strains free cash flow ahead of earnings · 11 src
- Microsoft reports Q1 2027 revenue near $90.75B amid buyouts and $50B capital spending · 13 src
- Cognition weighs new funding round at $70B-$80B valuation · 1 src
Comments
via GitHub Discussions