For a time, it seemed to be the type of transaction that writes the headlines. Nvidia, whose chips have powered a lot of the AI boom, reportedly lining up an eye-popping $100 billion investment into OpenAI, ChatGPT’s parent company. Big money, big ambition, big future. And then – seemingly out of nowhere –  the deal was just … not there.

Now reports are emerging that the much-hyped alliance between the two heavyweights was never quite a “done deal,” even after months of buzz and breathless speculation.

As The Guardian reports, however, what many assumed to be a solid financial pledge was actually much more nebulous-the latest evidence of how vague some of the tech industry’s biggest promises have turned out to be in the AI economy.

The story pulled back the curtain on a financing scheme that had seemed pretty nifty – money circulated among companies to buy one another’s wares – but perhaps shakier than practically anyone wanted to acknowledge.

Here’s the uncomfortable question that’s starting to be asked: Was this ever a real deal, or was it nothing but a confidence trick that has now run out of marks?

People briefed on the matter said Nvidia had come to have second thoughts about the size and possible structure of its proposed investment, pushing back internally even as the world outside presumed that everything was set in place.

And when Reuters investigated further, the message was stark: The plans had hit a wall, and enthusiasm inside Nvidia was significantly more muted than the hype suggested.

Space out a little more and this seems like more than one deal gone wrong. It comes just as investors have begun pumping the brakes on AI exuberance.

The stock market could still be a peak and many economists can see fatigue under the surface – higher costs, uncertain returns and a growing suspicion that not every bet on AI can pay out forever.

Bloomberg recently noted that the investor “love affair” with artificial intelligence has yet to abate, but the easy-money phase might be done.

The awkwardness that elevates this saga is the human one. Nvidia CEO Jensen Huang is said to have been much less impressed with OpenAI’s business model than public appearances might have suggested.

Behind closed doors, he has been known to voice concerns about execution, costs and whether the economics actually pencil out.

That tension has been simmering beneath the surface for some time, though industry observers have pointed out that flashy AI demos don’t guarantee viable businesses.

Tech reporting that gets into those internal dynamics paints a picture of caution meeting ambition head-on.

(If this all feels vaguely familiar, that’s because it is.) Economists and tech critics have been sounding the alarm that parts of the A.I. boom look a lot like bubbles past – overhyping, circular investment, the assumption that growth is bound to keep pacing ahead of costs.

Others contend that the US economy is leaning too much on AI scaling as a silver bullet, with insufficient answers to the question of who really benefits when the dust settles.

That concern has been echoed in broader economic commentary wondering out loud if intelligence is being applied to the business models, as well.

So where does that leave us? Perhaps with a slightly bruised ego, but also maybe with a little more realism. The fall – or quiet fizzle – of this $100 billion mirage does not mean AI is done.

Far from it. But it does indicate that the age of unquestioned hype is dwindling, to be replaced by more difficult discussions about value, risk and what’s actually sustainable. And honestly? That might be just what the industry needs at this moment.

Origianl Creator: Mark Borg
Original Link: https://ai2people.com/the-100-billion-ai-deal-that-quietly-vanished-and-why-it-matters-more-than-you-think/
Originally Posted: Thu, 05 Feb 2026 11:31:28 +0000