Nvidia's AI Deals of 2025 - Exponential Demand for Compute Rising
Circular investments are't real numbers. They are a form of boosting the demand for compute artificially. The AI boom is getting exaggerated. Nvidia is about to hit 10% of the NASDAQ 100 in late 2025.
I have tried to cover Nvidia, for instance here or here, and display some understanding of their trajectory in AI chips, but it’s difficult. It’s unprecedented scale and capital we are talking about.
It’s a bifurcation and a new machine economy of datacenters we are talking about. It’s a demand for compute that is engineered to keep going up, and some of Nvidia’s moves display that.
We’ve had a $15 Trillion rally in the U.S. market with 28 all-time high days since early April, 2025. It’s more than just an AI bull-market.
Nvidia is on track to hit $5 Trillion market cap before 2026, and some of their mega moves reflect a very odd AI led bifurcation of a new kind of capitalism.
Recently I think we should point to a few big points:
Nvidia’s is doing $60 Billion of stock buybacks in 2025.
Nvidia said it will invest about $5 Billion in Intel which adds up to a 4% stake in Intel.
Nvidia is investing $100 Billion in OpenAI, for OpenAI to buy AI chips from Nvidia, so this is very exaggerated stock market pumping that’s circular.
Nvidia invested $500 million in Wayve, the microsoft backed AV startup from the UK which could be a global leader in the impact of deep learning on self-driving vehicles. (more or less one of UK’s best AI startups).
The U.S. seeking to lead in AI means more datacenters, even if LLMs haven’t manifested capabilities to their full (or promised) potential.
Nvidia has announced a strategic partnership with OpenAI to deploy up to 10 gigawatts (GW) of Nvidia-powered AI infrastructure, the largest such project in history.
But investing in some of your own biggest customers for them to buy even more product, is more like a ponzi scheme than a real investment. Nvidia’s CEO’s proximity to Donald Trump here also speaks volumes as to the true nature of “Sovereign AI”. The United States has essentially become in short-order, an imperial actor in AI developmentally globally.
The AI Supremacy antics of the United States, with the economic warfare of Trump tariffs, might create a geopolitical climate where the world unites against America’s unipolar dominance. Even as the labor market of the United States is displaying significant weakness even in the middle of an AI boom.
