Nvidia’s latest AI chip will cost more than $30,000, CEO says
Nvidia’s next-generation graphics processor for artificial intelligence, called Blackwell, will cost between $30,000 and $40,000 per unit, CEO Jensen Huang told CNBC’s Jim Cramer.
“This will cost $30 to $40 thousand dollars,” Huang said, holding up the Blackwell chip.
“We had to invent some new technology to make it possible,” he continued, estimating that Nvidia spent about $10 billion in research and development costs.
The price suggests that the chip, which is likely to be in hot demand for training and deploying AI software like ChatGPT, will be priced in a similar range to its predecessor, the H100, or the “Hopper” generation, which cost between $25,000 and $40,000 per chip, according to analyst estimates. The Hopper generation, introduced in 2022, represented a significant price increase for Nvidia’s AI chips over the previous generation.
Nvidia CEO Jensen Huang compares the size of the new “Blackwell” chip versus the current “Hopper” H100 chip at the company’s developer conference, in San Jose, California.
Nvidia
Nvidia announces a new generation of AI chips about every two years. The latest, like Blackwell, are generally faster and more energy efficient, and Nvidia uses the publicity around a new generation to rake in orders for new GPUs. Blackwell combines two chips and is physically larger than the previous-generation.
Nvidia’s AI chips have driven a tripling of quarterly Nvidia sales since the AI boom kicked off in late 2022 when OpenAI’s ChatGPT was announced. Most of the top AI companies and developers have been using Nvidia’s H100 to train their AI models over the past year. For example, Meta is buying hundreds of thousands of Nvidia H100 GPUs, it said this year.
Nvidia does not reveal the list price for its chips. They come in several different configurations, and the price an end consumer like Meta or Microsoft might pay depends on factors such as the volume of chips purchased, or whether the customer buys the chips from Nvidia directly through a complete system or through a vendor like Dell, HP, or Supermicro that builds AI servers. Some servers are built with as many as eight AI GPUs.
On Monday, Nvidia announced at least three different versions of the Blackwell AI accelerator — a B100, a B200, and a GB200 that pairs two Blackwell GPUs with an Arm-based CPU. They have slightly different memory configurations and are expected to ship later this year.
Technology
How Broadcom’s big OpenAI deal fits into the data center boom and what it means for the AI trade
Oracle CEO, Clay Magouyrk, sits down with CNBC’s David Faber on Oct. 13, 2025.
CNBC
Oracle CEO Clay Magouyrk, one of the two people tapped last month to lead the software company, is confident that OpenAI will be able to cover the costs of the massive amount of cloud infrastructure services it consumes.
In an interview with CNBC’s David Faber at Oracle’s AI World conference on Monday, Magouyrk said “of course” OpenAI can pay $60 billion for a year’s worth of cloud resources. In July, OpenAI agreed to a five-year deal with Oracle that’s worth over $300 billion.
“Just look at the rate at which they’ve grown to, you know, almost a billion users. That’s just unheard of,” said Magouyrk, who sat alongside fellow Oracle CEO Mike Sicilia for the interview in Las Vegas.
OpenAI said last week that its flagship ChatGPT chatbot, which was publicly launched less than three years ago, now has 800 million weekly active users. In 2024, OpenAI recorded a $5 billion net loss.
Sicilia said Oracle has started integrating OpenAI artificial intelligence models into a patient portal for viewing electronic health records. Oracle acquired EHR vendor Cerner for about $28 billion in 2022.
“I’ve seen the results, and I really do think that they’re going to have a dramatic impact on industries, on enterprises of all types,” Sicilia said of OpenAI.
OpenAI rents out Nvidia graphics chips to run models through Oracle, as well as CoreWeave, Google and Microsoft. At the same time, the company is designing a custom AI processor that Broadcom will build. Earlier on Monday, Broadcom and OpenAI said they will jointly deploy 10 gigawatts worth of the new OpenAI chips.
Building out that much infrastructure requires a hefty amount of new energy.
“I think it’s a factor of time, not a factor of if we’ll have enough power,” Sicilia said.
Oracle shares rose almost 6% on Monday. The stock has gained 86% this year, lifting Oracle’s market cap close to $900 billion.
WATCH: Oracle CEO Magouyrk: ‘Of course’ OpenAI can pay $60 billion per year
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