Nvidia has increased its startup investment activity in 2025. The chip maker participated in 50 venture deals by October 2025. This number already surpassed the 48 deals from all of 2024. The data comes from PitchBook research.
Nvidia’s formal venture fund, NVentures, also increased activity. It made 21 deals in 2025 compared to just 1 deal in 2022. The company’s market cap reached $4.34 trillion as of August 2025.
Nvidia says its goal is to expand the AI ecosystem. The company backs startups it calls “game changers and market makers.” This article looks at Nvidia’s biggest startup investments in 2025 using real data and funding details.
Nvidia Investment Activity by Numbers
- 50 venture deals by October 2025 (not including NVentures)
- Biggest investments include OpenAI ($100 billion), xAI ($20 billion), and UK ecosystem (£2 billion)
- 21 NVentures deals in 2025 versus 1 in 2022
- Total 51 deals when counting all investment activity
- Investments focus on AI models (40%), cloud infrastructure (35%), and emerging tech (15%)
- Market cap of $4.34 trillion as of August 2025
- Geographic focus is US (60%) and Europe (25%)
Nvidia focuses on three areas: AI model companies, cloud infrastructure firms, and new tech like quantum computing and nuclear fusion.
Top 10 Nvidia Startup Investments in 2025
1. OpenAI: $100 Billion Total Commitment (September 2025)
- Total commitment: Up to $100 billion
- Structure: 10 tranches of $10 billion each
- First tranche valuation: $500 billion
- Previous round: $100 million in October 2024 ($157 billion valuation)
Nvidia agreed to invest up to $100 billion in OpenAI. The deal is structured as 10 separate $10 billion investments. Each tranche ties to infrastructure deployment goals. The first $10 billion valued OpenAI at $500 billion. Payment comes through lease arrangements, not upfront GPU purchases.
2. xAI: $20 Billion Funding Round (October 2025)
- Total round size: $20 billion
- Nvidia equity investment: Up to $2 billion
- Structure: $7.5 billion equity plus $12.5 billion debt
- Special purpose vehicle for GPU purchases
Elon Musk’s xAI raised $20 billion in October 2025. Nvidia invested up to $2 billion in equity. The deal uses a special vehicle to buy Nvidia GPUs. XAI then leases the chips for five years. This helps xAI’s Colossus 2 data center in Memphis.
3. UK AI Startup Ecosystem: £2 Billion Investment (September 2025)
- Total commitment: £2 billion ($2.6 billion)
- Focus areas: London, Oxford, Cambridge, Manchester
- Partner VCs: Accel, Air Street Capital, Balderton, Hoxton Ventures, Phoenix Court
Nvidia announced £2 billion for UK’s AI startup ecosystem. The money will go to major UK cities. Partner venture capital firms will help deploy the funds.
Wayve, a self-driving tech startup, signed a letter of intent for $500 million from this fund. This adds to Wayve’s $1.05 billion Series C from May 2024 in which Nvidia participated.
4. Mistral AI: €1.7 Billion Series C (September 2025)
- Round size: €1.7 billion ($2 billion)
- Post money valuation: €11.7 billion ($13.8 billion)
- Lead investor: ASML (€1.3 billion)
- Previous valuation: $6 billion
French AI company Mistral AI raised €1.7 billion in September 2025. The round more than doubled the company’s previous $6 billion value. ASML led with a €1.3 billion investment. Nvidia joined as an existing investor.
Mistral makes large language models. The company competes with OpenAI in Europe. It was founded in 2023 by former Google and Meta researchers.
5. Commonwealth Fusion Systems: $863 Million (August 2025)
- Round size: $863 million
- Valuation: $3 billion
- Total raised to date: Nearly $3 billion
- Key investors: Google, Breakthrough Energy Ventures, Nvidia
NVentures joined Commonwealth Fusion’s $863 million round in August 2025. The startup works on nuclear fusion energy. It is building the SPARC tokamak reactor. The company plans to achieve scientific breakeven in 2027.
Google agreed to buy 200 megawatts from the future ARC plant. ARC should produce 400 megawatts in the early 2030s. This is enough power for about 150,000 homes.
6. CoreWeave: 7% Stake, IPO March 2025
- Nvidia stake: 24.2 million shares (7%)
- Stake value: About $2 billion (May 2025)
- IPO price: $40 per share
- Market cap: Over $37 billion (May 2025)
CoreWeave went public in March 2025. The company raised $1.5 billion at $40 per share. Nvidia helped the IPO by ordering $250 million in shares. By May 2025, Nvidia owned 7% of CoreWeave worth about $2 billion.
CoreWeave rents access to Nvidia GPUs. The company has contracts with OpenAI worth up to $16 billion. Microsoft is its biggest customer, providing 62% of 2024 revenue.
7. Reka AI: $110 Million Series B (July 2025)
- Round size: $110 million
- Post money valuation: Over $1 billion
- Previous valuation: $300 million
- Co-investors: Snowflake, DST Global Partners
Reka AI raised $110 million in July 2025. The round tripled the company’s value to over $1 billion. Nvidia and Snowflake backed the round.
Reka makes efficient multimodal AI models. Its models understand video, image, text, and audio. Reka Flash is the main product. Companies like Shutterstock and Turing Video use it.
8. Nscale: $433 Million SAFE (October 2025)
- Funding: $433 million SAFE
- Previous round: $1.1 billion (September 2025)
- Location: United Kingdom
- Nvidia commitment: £500 million ($667.7 million)
Nvidia backed UK cloud provider Nscale in October 2025. The investment came through a $433 million SAFE (Simple Agreement for Future Equity). Nscale had raised $1.1 billion the month before. Nvidia committed £500 million to the company.
9. Enfabrica: $125 Million Series B Plus Acquisition (2023-2025)
- Initial investment: $125 million Series B (September 2023)
- Acquisition price: Over $900 million (September 2025)
- Post money valuation: About $600 million (before acquisition)
- Additional raise: $115 million (Nvidia not participating)
Nvidia invested in Enfabrica’s $125 million Series B in September 2023. Enfabrica makes networking chips. In September 2025, Nvidia spent over $900 million to hire Enfabrica CEO Rochan Sankar and license the technology. This was an acquihire, not a full acquisition.
10. Cohere: $500 Million Series D (August 2025)
- Round size: $500 million
- Valuation: $6.8 billion
- Nvidia participation: Multiple rounds since 2023
- Location: Toronto, Canada
Nvidia backed Cohere across multiple funding rounds. The latest was a $500 million Series D in August 2025 at a $6.8 billion value. Cohere makes enterprise large language models.
Despite Nvidia’s backing, Cohere said it will use AMD chips along with Nvidia’s. This shows investment does not mean exclusive chip partnerships.
Additional Major Investments
Crusoe: $686 Million (November 2024)
Nvidia joined Crusoe’s $686 million round led by Founders Fund. Crusoe builds data centers for Oracle, Microsoft, and OpenAI.
Perplexity: $500 Million (December 2024)
Nvidia invested in Perplexity’s $500 million round in December 2024. The company makes an AI search engine. Nvidia first backed Perplexity in November 2023.
Runway: $308 Million (April 2025)
Nvidia participated in Runway’s $308 million round. General Atlantic led the round. Runway was valued at $3.55 billion. The startup makes AI tools for media production. Nvidia has invested since 2023.
Figure AI: Over $1 Billion Series C
Nvidia joined Figure AI’s Series C funding of over $1 billion. The humanoid robotics company reached a $39 billion valuation.
Scale AI: $1 Billion (May 2024) Then Meta Deal (June 2025)
Nvidia joined a $1 billion funding round for Scale AI in May 2024. Scale provided data labeling services. The company was valued at nearly $14 billion.
In June 2025, Meta invested $14.3 billion for a 49% stake. Meta also hired CEO Alexandr Wang and other key employees. This gave investors including Nvidia a strong return.
Lambda Labs: $480 Million Series D (February 2025)
Nvidia participated in Lambda Labs’ $480 million Series D. Lambda is a cloud provider that competes with CoreWeave. Both rent GPU computing power.
Intel: $5 Billion Investment (September 2025)
Nvidia took a $5 billion stake in Intel in September 2025. The two companies will work together on AI processors. This was a major strategic investment in a former rival.
Investment Categories and Distribution
By Sector:
- AI Model Companies: 40% (OpenAI, xAI, Mistral, Cohere, Reka, Perplexity)
- Cloud Infrastructure: 35% (CoreWeave, Crusoe, Lambda, Nscale)
- Emerging Tech: 15% (Commonwealth Fusion, Intel)
- Other Applications: 10% (Wayve, Figure AI, Runway)
By Geography:
- United States: 60% of deals
- Europe: 25% (UK ecosystem, Mistral, Nscale)
- Other: 15% (includes Canada and global deals)
By Stage:
- Late Stage/Growth: 55%
- Series B/C: 30%
- Early Stage: 10%
- IPO/Public: 5%
How Nvidia’s Investment Strategy Works?
The Circular Financing Model
Many Nvidia investments follow a pattern. Nvidia invests in a startup. The startup uses the money to buy Nvidia GPUs. Critics call this “circular financing.”
The xAI deal shows this clearly. The $20 billion includes money specifically for buying Nvidia chips. OpenAI’s $100 billion commitment also ties to GPU purchases through lease agreements.
Strategic Benefits for Nvidia
Nvidia gets several benefits from these investments:
- More GPU Sales: Funded companies buy more chips
- Market Knowledge: Investment provides insights into AI trends
- Multiple Bets: Backing many companies reduces risk
- Influence: Nvidia gains input on how AI develops
- Financial Returns: Some investments provide good profits
The Acquihire Approach
Nvidia uses acquihires instead of full acquisitions. The Enfabrica deal shows this. Nvidia paid over $900 million for people and technology without buying the whole company. This avoids regulatory problems that come with big acquisitions.
Revenue and Market Position
Nvidia Financial Performance:
- Q2 FY2026 revenue: $46.7 billion (ended July 27, 2025)
- Up 56% year over year
- Up 6% from previous quarter
- Trailing 12 month revenue: $165 billion
- 88% of revenue from data centers
Customer Concentration:
- Top 2 customers: 39% of revenue
- Top 4 customers: 46% of revenue
- Microsoft is CoreWeave’s biggest customer at 62% of its revenue
Nvidia’s investments often flow back as revenue. Companies like CoreWeave spend billions buying Nvidia GPUs. This creates a cycle where investments help drive sales.
Comparison With Other Tech Giants
Microsoft
Microsoft invested over $13 billion in OpenAI. Microsoft provides cloud services through Azure. Its approach focuses on one major partner rather than many smaller bets.
Google invested $13 billion in Anthropic. Google also backed Commonwealth Fusion and other startups. Google’s strategy balances AI safety with commercial goals.
Amazon
Amazon backed Anthropic and other AI infrastructure companies. Amazon wants integration with AWS cloud services. Its approach is similar to Microsoft’s.
Meta
Meta made the biggest acquihire with Scale AI for $14.3 billion. Meta bought a 49% stake and hired the CEO and team. This shows the high value of AI talent.
Risks and Concerns
Regulatory Scrutiny
Circular financing has drawn attention from regulators. The model where investments fund GPU purchases raises antitrust questions. Some worry Nvidia has too much control over AI development.
Market Concentration
Nvidia’s position creates dependencies. Many AI companies rely on Nvidia chips. This concentration could be risky if problems occur.
GPU Value Depreciation
Nvidia releases new chips often. Older chips lose value quickly. Companies with old GPUs face this risk. CoreWeave has 250,000 GPUs, mostly older Hopper generation. New Blackwell chips are better.
Debt Levels
Many investments include large debt packages. CoreWeave has $10.45 billion in GPU-backed debt. If GPU values fall, debt holders could lose money.
Investment Activity Timeline
2022:
- Nvidia made 16 investments
- NVentures made 1 deal
2024:
- Nvidia made 41 investments
- Activity increased significantly
2025 (through October):
- Nvidia made 50 deals (not counting NVentures)
- NVentures made 21 deals
- Total of 51 deals across both
- Largest single commitment: $100 billion to OpenAI
The data shows clear growth in investment activity over three years.
Future Outlook
Expected Trends for 2026
Based on 2025 activity, predictions for 2026 include:
- 75 or more total deals
- Bigger average investment sizes
- More focus on Asia and Middle East
- New sectors like healthcare AI and robotics
Potential Changes
Several factors could change the strategy:
- More regulatory rules
- Competition from AMD and Intel
- Economic problems
- Technical challenges in AI
Market Evolution
The AI investment market is changing fast. In 2025, tech companies plan to spend $300-400 billion on AI infrastructure. This spending level is like government infrastructure projects, not typical tech spending.
Conclusion
Nvidia’s 2025 investment activity shows its role in AI development. The company made direct investments and joined funding rounds worth over $40 billion. These investments span from research companies to practical infrastructure providers.
The strategy creates an ecosystem that needs Nvidia products. By investing billions, Nvidia ensures demand for its chips while gaining insights into AI trends. Success stories like CoreWeave’s March 2025 IPO and Scale AI’s June 2025 Meta deal show the financial benefits.
However, the circular financing model raises questions. Regulators are watching closely. Competition from AMD and Intel is growing. These factors may change how Nvidia invests in the future.
For entrepreneurs and investors, Nvidia’s investment choices signal important AI trends. The company’s decisions help show where AI is heading next.