Nvidia's AI Deals: Vendor Financing or Round Tripping?

Nvidia has invested $1 billion in Nokia to boost AI chip sales and develop 6G technology. This deal is seen as a form of vendor financing, where the producer extends credit to a customer to purchase their products. Others view it as round-tripping, where the funding is more open-ended and not specific to certain goods. Historical context from the dotcom bubble shows similar deals were common amid a thriving tech sector. Nvidia has also committed to investing $100 billion in OpenAI and has a $3 billion equity position in CoreWeave, which is using Nvidia chips as collateral for a $2.3 billion debt facility.