Nvidia Cuts $130B+ From OpenAI's Ohio 10GW Campus Guarantee: Reports
The chipmaker would back only the project’s first phase as OpenAI keeps negotiating a lease for the full 10-gigawatt build, WSJ said.
- On Friday, The Wall Street Journal reported that Nvidia revised its financial backstop for OpenAI's proposed Ohio data center, now guaranteeing less than $120 billion instead of the $250 billion previously discussed.
- Investors raised concerns about Nvidia's risk exposure tied to large financing commitments, prompting the revision as Nvidia and OpenAI near an agreement on the project's first phase.
- A subsidiary of SoftBank is developing the site, which would become the largest data center project announced to date if completed and requires a 10-gigawatt capacity.
- Despite an $852 billion valuation, OpenAI remains unprofitable, and its ability to fund large-scale commitments remains under scrutiny; a deal could be signed as early as this weekend.
- On Monday, Nvidia partnered with six major financial institutions to launch compute financing platforms aimed at raising over $500 billion in third-party capital for broader AI infrastructure investments.
21 Articles
21 Articles
Nvidia Cuts OpenAI Data Center Backing as $250 Billion Plan Gets Cut
Nvidia just slashed its financial guarantee for OpenAI’s Ohio data center from $250 billion to under $120 billion. The cut follows investor pushback. Nvidia’s stock fell 5% in a single day after the original figure leaked. Here’s what changed, why Nvidia pulled back, and what it means for OpenAI’s AI buildout. What Changed in the Deal Nvidia originally agreed to guarantee up to $250 billion for the campus. It’s a 10 gigawatt data center in Pike …
Nvidia eyes investing $3 billion in SoftBank's SB Energy under OpenAI data center deal, Information says
The proposed investment is part of Nvidia's talks with OpenAI and SB Energy on providing credit support for a panned Ohio data center campus, the report said.
Nvidia OpenAI backstop halved as 13F reveals its stakes
Anissa Gardizy reported the cut for The Wall Street Journal on 14 August. Under the new proposed terms Nvidia would initially backstop only half of the 10GW project, and it would decide about the rest later. A deal could be signed as soon as this weekend. The Journal says Nvidia made the change to address […] This story continues at The Next Web
Nvidia has reduced its guarantee for OpenAI's Ohio data center construction project from $250 billion to less than $120 billion. Taking into account investors' concerns regarding circular trading, the company has taken steps to manage risk by supporting only half of the total 10GW project, or 5GW.
Nvidia Scales Back on OpenAI Data Center Guarantee
Nvidia has reportedly reduced its financial guarantee for a new OpenAI data center from $250 billion to less than $120 billion. The decision aimed to mitigate investor concerns about potential risks associated with the project. The Wall Street Journal cites sources familiar with the situation.
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