nvidia, amazon and openai Updates

AI chip startup Mythic Inc. secured $125 million on December 17, 2025, in a Series C funding round led by DCVC and Tiger Global Management. This investment aims to bolster Mythic's challenge against Nvidia in the AI processor market. Mythic, whose CEO Taner Ozcelik is an Nvidia veteran, develops analog chips designed to significantly reduce power consumption for AI tasks by processing data within memory, offering a more energy-efficient solution for data centers. Simultaneously, on December 17, Amazon was reportedly in discussions to invest approximately $10 billion in OpenAI, a deal that could value OpenAI at over $500 billion. This potential investment underscores OpenAI's growing need for computing power and its strategic move towards a multi-cloud approach, including plans to utilize Amazon's Trainium chips. This development intensifies the competitive landscape for AI hardware, as Google is also actively working to lessen its dependence on Nvidia's CUDA software. These significant developments contributed to volatility in AI stocks and a decline in semiconductor shares on December 17. The PHLX Semiconductor Index fell 2.48%, with Nvidia shares dropping between 1.8% and 3%. Broadcom and Arm Holdings also saw declines of around 5%. Market jitters were further fueled by concerns surrounding Oracle's data center funding issues, though Oracle denied the negative report, stating negotiations are on track. Beyond chip competition, Databricks raised over $4 billion in a Series L funding round on December 16, 2025, increasing its valuation to $134 billion. These funds will enhance its AI products like Lakebase, Agent Bricks, and Databricks Apps. Meanwhile, custom AI chipmaker Marvell Technology, despite a 25% stock drop this year, appears undervalued, showcasing strong revenue growth and strategic acquisitions like Celestial AI for $3.25 billion. Gene Munster from Deepwater Asset Management predicts the AI stock trend will continue into 2026, with Apple's stock potentially reaching $200, and an increased focus on company profitability.

Key Takeaways

• AI chip startup Mythic Inc. raised $125 million on December 17, 2025, to compete with Nvidia using power-efficient analog processors.
• Amazon is reportedly in talks to invest $10 billion in OpenAI, which plans to use Amazon's Trainium chips, challenging Nvidia and Google.
• Google is actively working to reduce its dependence on Nvidia's CUDA software.
• Semiconductor stocks, including Nvidia, Broadcom, and Arm Holdings, saw declines on December 17, 2025, due to increased AI chip competition and market concerns.
• Databricks secured over $4 billion in Series L funding on December 16, 2025, valuing the company at $134 billion, to boost its AI product offerings.
• Marvell Technology, a custom AI chipmaker, shows strong revenue growth (63% and 58% year-over-year in Q1 and Q2 fiscal 2026) and acquired Celestial AI for $3.25 billion.
• Oracle's data center funding issues caused market jitters, with its shares falling nearly 4.5% on December 17, though the company denied negative reports.
• Gene Munster predicts the AI stock trend will continue into 2026, with Apple's stock potentially reaching $200.
• BigBear.ai shares dropped 7.3% after missing Q3 earnings estimates.
• SoundHound AI, despite a 38% stock drop this year, has strong revenue growth and a $4.5 billion market cap, with analysts seeing no need for a stock split.

AI Chip Startup Mythic Secures $125 Million to Rival Nvidia

AI chip startup Mythic Inc. raised $125 million on December 17, 2025, led by DCVC. This funding will help Mythic challenge Nvidia Corp. in the AI processor market. CEO Taner Ozcelik, an Nvidia veteran, believes their analog chips use much less power than digital ones. Mythic's technology processes data within memory, saving energy. The company aims to offer a power-efficient alternative for data centers, which face challenges with high electricity demands for AI computing.

Mythic Secures $125 Million for AI Chip Expansion

AI chip startup Mythic raised $125 million in a Series C funding round. The company plans to use these funds to grow its presence in the AI chip market and compete with Nvidia. Mythic's analog processors aim to greatly reduce power use for AI tasks compared to digital chips. This power efficiency is a key benefit as AI applications become more common. Tiger Global Management led the funding, with support from SoftBank Vision Fund and Khosla Ventures.

Mythic Gets $125 Million to Boost AI Chip Competition

Mythic Inc. received $125 million in funding to compete with Nvidia in the artificial intelligence chip market. DCVC led the round, with participation from New Enterprise Associates, SoftBank Group, Honda Motor, and Lockheed Martin. Mythic develops analog computers that process large AI data sets using less power than traditional digital chips. CEO Taner Ozcelik, an Nvidia veteran, states this approach solves efficiency gaps in AI hardware. The company plans to focus on product commercialization and client adoption next.

Amazon May Invest $10 Billion in OpenAI on December 17

On December 17, 2025, AI stocks showed volatility due to several factors. Amazon is reportedly in talks to invest about $10 billion in OpenAI, potentially valuing the company at over $500 billion. This deal highlights the growing need for computing power and OpenAI's move towards a multi-cloud strategy. OpenAI also plans to use Amazon's Trainium chips, which compete with Nvidia and Google's AI chips. Meanwhile, Oracle's data center funding issues caused market caution, and Alphabet is working to lessen dependence on Nvidia's CUDA software.

Semiconductor Stocks Fall as AI Chip Competition Rises

On December 17, 2025, semiconductor stocks saw a decline, with the PHLX Semiconductor Index falling 2.48%. Nvidia shares dropped about 1.8%, while Broadcom and Arm Holdings were down around 5%. This downturn comes as competition in the AI chip market intensifies. News that Amazon is discussing a $10 billion investment in OpenAI, which would use Amazon's Trainium chips, suggests a shift in demand away from traditional GPU suppliers. Google is also working to reduce reliance on Nvidia's CUDA software. Investors are now questioning if AI spending will lead to lasting profits and if demand is shifting among chip providers.

Gene Munster Predicts AI Growth and Tech Trends for 2026

Gene Munster from Deepwater Asset Management shared 11 predictions for the market in 2026. He expects the AI stock trend to continue with ongoing innovation and adoption. Munster also believes small-cap tech companies will grow faster than larger ones, and semiconductor demand will stay strong. He forecasts Apple's stock price will reach $200. Other predictions include a greater focus on company profitability, more AI use across different industries, and increased government checks on big tech firms.

Marvell Technology Appears Undervalued Amid AI Spending Boom

Marvell Technology, a custom AI chipmaker, seems undervalued despite a 25% stock drop this year. CEO Matt Murphy denied rumors that the company lost business from Amazon and Microsoft. Marvell shows strong revenue growth, with 63% and 58% year-over-year increases in the first two quarters of fiscal 2026. The company sold its automotive Ethernet business for $2.5 billion and acquired Celestial AI for $3.25 billion to boost its AI data center presence. This strategic shift and strong performance suggest Marvell Technology may see its stock price rise.

Tech Stocks Fall as Oracle Funding News Sparks AI Concerns

On Wednesday, December 17, tech stocks dropped sharply as concerns about the AI sector returned. Oracle's data center funding issue was a main reason for the market's jitters, causing Oracle shares to fall nearly 4.5%. This decline also affected other AI-related stocks, with Nvidia dropping about 3% and Broadcom and Arm Holdings down around 5%. Oracle denied a report about funding, stating negotiations are on track. Despite the day's losses, analysts like John Higgins believe the AI rally will continue through 2026.

BigBear.ai Stock Drops 7.3 Percent After Earnings Report

BigBear.ai shares fell 7.3% to $5.72 on Tuesday, with 1.9 million shares traded. This drop followed the company's third-quarter earnings report on Monday, November 14th, where it missed analyst estimates with an earnings per share of ($0.15). Several analysts have commented on the stock, with an average rating of buy and a consensus price target of $7.25. Additionally, directors Christopher Michael St John and Bradford L. Bentley sold shares on November 14th. BigBear.ai provides AI-powered decision intelligence solutions for various sectors.

SoundHound AI Stock Split Unlikely Despite Market Interest

SoundHound AI, a company specializing in conversational and voice AI, has seen its stock drop 38% this year, though it is up 92% over the past five years. The company, with a $4.5 billion market cap, has strong revenue growth but still reports losses. Currently, its stock trades around $11.11 per share. While stock splits can boost liquidity or investor interest, analysts believe SoundHound AI does not need one. The company remains compliant with Nasdaq listing rules, and there is no urgent need to increase liquidity.

Databricks Secures Over $4 Billion to Boost AI Features

On December 16, 2025, Databricks Inc. raised over $4 billion in a Series L funding round, increasing its valuation to $134 billion. Insight Partners, Fidelity Management & Research, and J.P. Morgan led the investment. The company plans to use the funds to enhance its AI products, including Lakebase, Agent Bricks, and Databricks Apps. These tools help customers build applications powered by artificial intelligence agents. Databricks reported over $4.8 billion in annualized revenue in the third quarter, showing strong growth. CEO Ali Ghodsi stated the company has not yet decided on an IPO.

Sources

• AI Chip Startup Mythic Raises $125 Million in Bid to Take on Nvidia
• Mythic Raises $125 Million to Expand AI Chip Push Against Nvidia
• Mythic Raises $125 Million to Expand AI Chip Push Against Nvidia
• AI Stocks Today (US Market): Amazon–OpenAI Talks, Oracle’s Data-Center Shock, and the New Threat to Nvidia’s CUDA Edge (Dec. 17, 2025)
• Semiconductor Stocks Today (Dec. 17, 2025): Nvidia, Broadcom, Micron in Focus as AI Chip Competition Heats Up
• Gene Munster's 11 Predictions For 2026: AI Trade Continues, Small‑Cap Tech Outperforms, This Magnificent Seven Stock Leads
• Marvell Technology Looks Undervalued as Artificial Intelligence Spending Surges
• Tech stocks plunge as AI angst returns
• BigBear.ai (NYSE:BBAI) Trading Down 7.3%
• Stock-Split Watch: Is SoundHound AI Next?
• Databricks raises $4B+ at $134B valuation to build new AI features