NVIDIA Corp (NASDAQ:NVDA) faced fresh pressure on Thursday as reports pointed to growing headwinds across its gaming, China and AI partnership fronts.
• NVIDIA stock is showing upward bias. What’s next for NVDA stock?
Gaming GPU Launch Could Be Paused
Nvidia stock traded slightly lower amid reports that the chipmaker may skip releasing a new gaming graphics chip this year because of an AI-driven global memory-chip shortage.
If confirmed, it would mark the first time in nearly three decades that Nvidia has gone a whole year without launching a new gaming GPU, the Information reported on Thursday, citing sources familiar with the matter.
China Export Plans Still Stuck In Review
Nvidia’s efforts to resume shipments of its H200 AI chips to China remain on hold, even after President Donald Trump signaled support.
The Commerce Department has completed its review, but the State Department is now conducting a national security assessment. It is reportedly pushing for stricter license conditions, according to the Financial Times.
Chinese customers have paused new H200 orders while awaiting clarity, as Alibaba Group Holding Ltd (NYSE:BABA) accelerates development of its own high-end AI chips to reduce reliance on Nvidia.
Beijing has reportedly approved an initial batch of imports, but other agencies are still finalizing terms.
OpenAI Investment Plans Draw Attention
Nvidia CEO Jensen Huang is also reportedly close to finalizing a significant investment in OpenAI, with plans to commit about $20 billion in the startup’s latest funding round.
If completed, it would become Nvidia’s most significant investment in OpenAI to date, though Bloomberg noted the terms could still change.
OpenAI is targeting up to $100 billion in new funding, with Amazon considering up to $50 billion and SoftBank discussing a potential $30 billion investment.
The report comes as Nvidia and OpenAI face scrutiny over their partnership, after recent articles suggested OpenAI may be exploring alternatives to some Nvidia chips.
Both Huang and OpenAI CEO Sam Altman have pushed back against those claims.
NVDA Price Action: Nvidia stock was up 0.51% at $175.08 at publication on Thursday.
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