CNBC’s MacKenzie Sigalos joins 'Money Movers' to discuss how OpenAI is fueling Nvidia rivals like Oracle's $300 billion cloud deal.

The release of Open AI's ChatGPT has accelerated the development of artificial intelligence and warnings about its impact on society.

Rise of AI

OpenAI has signed one of the largest cloud contracts in history, a $300 billion deal with Oracle for compute power, contributing to Oracle's significant revenue backlog. This move is part of a broader strategy by OpenAI to diversify its supplier base and reduce reliance on dominant players like NVIDIA, including a $10 billion partnership with Broadcom to develop a GPU rival.

Venture capitalists note that the rapid fundraising and spending are inflating market valuations and driving legacy tech companies to reposition themselves as AI leaders. However, the high valuations have priced out many traditional investors, leaving sovereign wealth and Middle Eastern capital as primary backers. The sustainability of this investment loop depends on whether OpenAI can secure further funding and achieve its ambitious revenue targets.

AI's trillion dollar money loop

Shares of Oracle today falling a bit following that 35% surge yesterday on its massive revenue backlog. And we now know where the majority of that revenue will come from. It's OpenAI, that $300 billion deal for compute power among the largest cloud contracts ever signed. Our Mackenzie Sagalos has more on that in today's Tech Check. Hey, Mack. Hey, Carl. So I've been speaking to VCs out here in Silicon Valley about how OpenAI is now bankrolling the AI trillion dollar club. And they're trying to make sense of this loop. The sky-high fundraising spending so fast that it clogs supplier backlogs and pumps up the market caps of legacy giants who have rebranded themselves as an AI play. Now, one investor telling me that the real story is the power struggle with NVIDIA, saying that OpenAI feels threatened and wants to diffuse the dynamic by making some of its smaller rivals a lot stronger. In the last week, OpenAI has fired two shots in that direction, a $10 billion Broadcom partnership to build a GPU rival and then this massive Oracle deal. Both are meant to spread leverage across the stack. Now, other VCs were marveling at Sam Altman's sprawl. One investor saying that he is really trying to out Elon, pointing to his custom chip ambitions and that top secret consumer device being built in a lab under Johnny Ive. Skeptics say the spending math does not work. Most VCs are priced out at a $500 billion valuation. They say that sovereign wealth and Middle East capital is keeping this entire ecosystem afloat. Another VC underlined the tightrope that everyone is walking here. The numbers look impossible on their face, but the constraint is compute and energy. So, yes, it is a gamble for these hyperscalers, but that trillion dollar capex wave has to happen in order for this AI thesis to clear. Now, the next test is whether OpenAI can lock in more funding and nail its agentic strategy in order to deliver on that $125 billion revenue target for 2029. That will be key to turning Oracle's backlog into cash. Guys. Now, I think the fifth best S&P of the year. And that's happened in a hurry in addition to all the chatter about Ellison's personal wealth, Mac. Thank you. Kenzie Sagalos.

Photos of a "person of interest" in the assassination of Charlie Kirk were released by the Salt Lake City FBI. Authorities are searching for the person who shot and killed the conservative activist at an event at Utah Valley University.

Orem

Photos released of "person of interest" in Charlie Kirk assassination

Authorities shared new details about the suspect's movements leading up to the fatal shooting of conservative activist Charlie Kirk. The search for the suspect continued on Thursday.

FBI says it has good video of Charlie Kirk shooting suspect

President Donald Trump announced Thursday that he will award conservative activist Charlie Kirk, who was assassinated during a campus event in Utah, the Presidential Medal of Freedom posthumously.

Washington

Trump says he'll award Charlie Kirk the Presidential Medal of Freedom

Authorities say the weapon used in the fatal shooting of conservative activist Charlie Kirk has been recovered and law enforcement tracked the movements of the suspect.

Officials: Weapon in Charlie Kirk shooting recovered; suspect tracked

Trump vowed retribution in an Oval Office address after his close ally and conservative activist Charlie Kirk was fatally shot on a campus in Utah. A massive search for the killer intensified following Kirk's death, with police going door-to-door looking for the shooter.

Trump pledges to find killer of conservative activist Charlie Kirk

The UAE’s President Mohammed bin Zayed visited Doha a day after Israel’s strike, signalling Gulf solidarity. Qatar’s prime minister called the strike “state terror,” accusing Israel of killing hopes for a hostage deal and demanding Netanyahu face justice.

Doha

Middle East Conflict

Qatar seeks ‘collective response’ to Israeli attack

Poland is rejecting the claim that Russian drones crossed into Polish airspace by accident and says the move is reckless and could lead to potential escalation.

Warsaw

Ukraine Invasion

Europe on edge after Russian drones invade Polish airspace

Prince Harry and King Charles had a private tea in London, Buckingham Palace. This marks their first meeting in nearly two years. Harry, the Duke of Sussex, last saw his father in early 2024, shortly after it was announced the King was undergoing cancer treatment.

London

King Charles, Prince Harry meet for the first time in nearly 2 years

U.S. President Donald Trump says rightwing political activist Charlie Kirk is dead after being shot in the neck at a university campus event in Utah. There is not a suspect in custody.

Conservative activist Charlie Kirk killed in shooting, Trump says

Brazilian Supreme Court Justice Luiz Fux voted on Wednesday (September 10) to acquit former President Jair Bolsonaro of forming a criminal organization and voted to annul his trial over jurisdiction, breaking with peers and raising the odds of an appeal after the final verdict this week.

Brasilia

Brazilian judge votes to annul Bolsonaro case, breaking with peers

U.S. President Donald Trump urged EU officials on Tuesday to hit China with tariffs of up to 100% as part of a strategy to pressure Russian President Vladimir Putin, according to a U.S. official and an EU diplomat.

Global Tariffs

Trump urges EU to impose 100% tariffs on China and India, sources say

Poland shot down drones that entered its airspace during a widespread Russian attack in western Ukraine, with the NATO member calling the incursion "an act of aggression." It marks the first time a member of the alliance has fired shots in the war.

Poland downs Russian drones in first shots fired by NATO member in war

Two Brazilian Supreme Court justices voted to convict former President Jair Bolsonaro of leading a criminal conspiracy to overturn the 2022 election, as they cast the first votes in the final phase of the ex-president's trial.

Two Brazil Supreme Court justices vote to convict Bolsonaro

Nepal’s prime minister has stepped down with at least 22 people dead, the country’s parliament in flames and its main airport shut down during a violent revolt. The unrest started over a social media ban and grew into a broader anti-corruption protest.

Kathmandu

Nepal’s parliament set on fire, PM resigns as protests spiral

U.S. President Donald Trump can't escape questions about Jeffrey Epstein as a congressional committee released a suggestive personal note to Epstein allegedly from Trump, for the convicted sex offender’s 50th birthday.

White House denies alleged Trump letter to Epstein is authentic

Israel's military said it "conducted a precise strike targeting the senior leadership of the Hamas terrorist organization," amid reports of large explosions in Qatar's capital city, Doha.

Hamas says none of its leadership killed in Israeli strike on Doha

French President Emmanuel Macron has named loyalist Sebastien Lecornu, a one-time conservative protégé who rallied behind his 2017 presidential run, as prime minister. Analysts say France is in the midst of a complicated political crisis.

Paris

France's Macron names loyalist Lecornu as new PM

Videos circulating online reveal a luminous flying object hitting the vessel. No crew members were harmed. Activists part of the flotilla say they will not be deterred by the attack, and that their mission will continue as planned.

Flotilla for Gaza ship struck by drone off Tunisia, organizers say

The Bureau of Labor Statistics said the U.S. labor market added 911,000 fewer jobs between April 2024 and March 2025. CBS News MoneyWatch correspondent Kelly O'Grady breaks it down.

U.S. jobs growth revised down by 911,000

A Michigan judge has dropped criminal charges against 15 people who were accused of trying to falsely certify Donald Trump as the winner of the 2020 presidential election. CBS News' Shanelle Kaul has the latest.

Michigan

Judge tosses case against 15 accused fake Trump electors in 2020

Israel says it carried out a strike targeting Hamas leaders. One Israeli official says it happened in Doha, Qatar. CBS News' Ramy Inocencio reports.

Israel targets Hamas leadership in Doha strike

The Trump administration launched a new immigration enforcement operation in Chicago, saying the latest federal crackdown in a US city would target the "worst of the worst criminals." But activists in the city remain defiant and say they will resist efforts by ICE to snatch people off the streets.

Chicago

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Norway's Labour Party has won four more years in government after seeing off a surge in support for the right. But exit polls predict it will only have a small majority, and its future may depend on how it navigates Norway's relationship with the rest of the world.

Oslo

Norway’s PM Stoere claims victory in general election

Officials in Nepal say at least 16 people are dead and dozens more injured after police opened fire on protesters. Tens of thousands, mostly young people, rallied in the capital Kathmandu against the government's ban on platforms including Facebook, X, and YouTube.

Multiple fatalities as Nepal police fire on protesters

France's Prime Minister François Bayrou overwhelmingly lost a confidence vote Monday after nine months in office. CBS News correspondent Shanelle Kaul has more.

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The U.S. Supreme Court allowed the Trump administration to continue its sweeping immigration stops in the Los Angeles area after they were briefly halted. CBS News immigration reporter Camilo Montoya-Galvez has more.

Supreme Court allows L.A. immigration stops to continue

Two Palestinian gunmen opened fire at a bus stop on the outskirts of Jerusalem on Monday (September 8), killing six people in what police described as "a terrorist attack," one of the deadliest in the city in the past few years.

Jerusalem

Palestinian gunmen kill six at Jerusalem bus stop

U.S. President Donald Trump said he was ready to hit Russia with a second phase of sanctions after its largest air attack on Ukraine in nearly four years of war. The assault on Saturday caused serious damage in Ukraine's capital, including to one of its most important government buildings.

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A drone launched by Yemen’s Houthi rebels struck southern Israel Sunday, hitting Ramon International Airport near Eilat and forcing a shutdown of airspace in the region.

Ilan and Asaf Ramon International Airport

Yemen’s Houthi rebels strike Israel's Ramon International Airport

Protests have erupted in Chicago after U.S. President Donald Trump threatened a federal crackdown, including sending National Guard troops and expanding deportations.

AI's trillion dollar money loop

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