Recently, OpenAI has inked AI infrastructure contracts valued at roughly US$1 trillion with industry giants like NVIDIA, AMD, and Oracle. The company is set to acquire over 20 gigawatts of computing power, an amount comparable to the electricity demand of 20 nuclear reactors. Nevertheless, this ambitious plan stretches far beyond OpenAI's current financial reach. With an annual revenue of just US$12 billion and an anticipated loss of US$10 billion for the current year, the company faces substantial funding challenges.

To tackle these financial hurdles, OpenAI has implemented a circular financing strategy. For instance, NVIDIA has committed to investing US$100 billion, while AMD has provided warrants to OpenAI. OpenAI's CEO has emphasized that the company's immediate focus is on scaling up operations rather than achieving profitability. This development has sparked a significant reaction in the capital market, driving up the stock prices of related partner companies. However, there are also apprehensions from external observers regarding OpenAI's aggressive expansion approach.