Circular lending is becoming increasingly prevalent among artificial intelligence companies, exemplified by the relationship between chip-maker Nvidia and OpenAI. Nvidia invests in OpenAI, while simultaneously supplying chips to the latter. This interconnected financial dynamic raises questions about the implications and risks for involved parties. Wall Street Journal reporter Jonathan Weil discusses these complex deals with Scott Tong on Here & Now, shedding light on potential advantages and pitfalls. Such circular investments can foster innovation but also create dependency, heightening financial risks. As the AI industry evolves, understanding these relationships is crucial for stakeholders. This segment aired on February 25, 2026, emphasizing the importance of strategic financial partnerships in driving AI advancements. Companies must navigate this intricate financial landscape to ensure sustainable growth and minimize risk, ultimately impacting the broader tech ecosystem.
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